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Chrysler to Re-Enter Natural Gas Vehicle Market At Super Ultra Low Emissions (SULEV) Status

5 February 1998

Chrysler to Re-Enter Natural Gas Vehicle Market At Super Ultra Low Emissions (SULEV) Status

    AUBURN HILLS, Mich., Feb. 5 -- Chrysler Corporation
, the company that introduced the world's first Low Emission Vehicle
(LEV) and Ultra Low Emission Vehicle (ULEV), is re-entering the natural gas
vehicle market this fall with two even cleaner models -- the Super Ultra Low
Emission Vehicle (SULEV) Dodge Ram Van and Wagon.
    "This fall we will begin production of natural gas powered versions of our
full-size Dodge Ram Van and Wagon for sale nationwide," said Chrysler
President Thomas T. Stallkamp.  "The Ram Van and Wagon are extremely popular
with both large and small fleet operators and the benefits of this less costly
and super clean fuel are an added incentive for our customers."  He added that
Chrysler plans to offer the natural gas system at a significantly reduced
price compared to previous models thanks to advances in the fuel storage
technology.
    Chrysler suspended natural gas vehicle production at the end of the 1996
model year.  Since that time, it has been evaluating new manufacturing
techniques, storage tank and emissions reduction technology, and the market
potential for natural gas vehicles (NGVs).
    "Gas Research Institute has been very supportive of Chrysler's efforts to
return to the NGV market," said Vince Fiore, GRI's Vice President and General
Manager of Natural Gas Vehicles.  "We worked with Chrysler when they became
the first original equipment manufacturer to provide low-emission dedicated
NGVs and continued that relationship in supporting the resolution of their
manufacturing and marketing concerns.  We welcome them back."
    "The new Ram Van and Wagon represent the state-of-the-art in NGV system
design," said Bernard I. Robertson, Vice President-Engineering Technologies
and General Manager-Truck Engineering.  "New fuel tanks will allow these
vehicles to store 13-46 percent more fuel than our previous NGVs for an
extended driving range.  "Our 1993 natural gas powered Ram Van and Wagon and
1994 natural gas powered minivans were the first to achieve the LEV and ULEV
certification, respectively," said Robertson.  "The 1999 natural gas powered
Ram Van and Wagon will meet the even cleaner SULEV requirements."
    "For heavy fuel users, such as airport shuttle operators, the modest
incremental cost of the NGV package will most likely be recovered in the first
year of operation on natural gas, which is typically 30 percent less expensive
than gasoline," said Mike Clement, Chrysler's Manager-Alternative Fuel Vehicle
Sales and Marketing.  "In subsequent years, the operator can pocket $2,000-
3,000 per year in fuel cost savings and reduce emissions every mile along the
way."
    Clement noted other advantages for customers.  The Dodge Ram Van and Wagon
were totally redesigned for the 1998 model year and remain the most affordable
vehicles in their segment.
    "The Dodge Ram Van and Wagon are among the most popular vehicles in their
segment and the refinements to these versatile vehicles, together with the
natural gas powertrain should make them even more appealing," Clement said.
    Clement also noted that Chrysler is rejoining the Natural Gas Vehicle
Coalition to further explore the marketing opportunities offered by the group.
    Pricing for the 1999 natural gas powered Dodge Ram Van and Wagon will be
announced closer to the fall launch.
    Natural gas is a domestically-produced fuel with 90 percent coming from
the United States and most of the remaining 10 percent imported from Canada
and Mexico.

SOURCE  Chrysler Corporation