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GM Pursuing Chrysler in Court for Holding Out on Payment for 2-Mode Hybrids

Smaller maker sticks GM for work done to develop models like upcoming Ram Hybrid pickup.

by on Jun.23, 2009

If at first you don't go green... Chrysler abandoned the Aspen Hybrid soon after launch but still hopes to come back with a 2-Mode Hybrid Ram pickup next year.  But it's left GM stuck with development cost bills as part of the smaller maker's bankruptcy.

If at first you don't go green... Chrysler abandoned the Aspen Hybrid soon after launch but still hopes to come back with a 2-Mode Hybrid Ram pickup next year. But it's left GM stuck with development cost bills as part of the smaller maker's bankruptcy.

Chrysler isn’t stopping with diesel-engine maker Cummins as the company leverages its time in bankruptcy court to modify its mountain of debt, including costs occurred while developing the current and future versions of its Ram pickup.

Among others left holding the bag is General Motors.  Attorneys for General Motors have filed documents with the court seeking full payment for development and production costs related to the Two-Mode Hybrid powertrain that Chrysler co-developed with GM and other partners, BMW and Daimler AG. GM is Chrysler’s Two-Mode transmission supplier for the upcoming 2010 Dodge Ram 1500 Hybrid.

GM’s documents say Chrysler has promised $173,477 to settle $531,275 in costs associated with: open receivables, payments for 2008 manufacturing costs, tooling, pre-production transmissions for the Chrysler Aspen and Dodge Durango Two-Mode Hybrid SUVs (which were killed after only two months of production), and supply agreements. The documents also state that Chrysler has assigned all production-related contracts to the “old” Chrysler, the one that effectively vanished when the “new” Chrysler, the one now controlled by Fiat, emerged from bankruptcy.

Subscribe to TheDetroitBureau.comUnder Chapter 11, Chrysler’s assets and liabilities were assigned to two entities: Old Chrysler and New Chrysler. Italian automaker Fiat, which recently merged with New Chrysler after that portion of the company emerged from bankruptcy, hasn’t (yet) assumed the Two-Mode Hybrid contract, leaving it with Old Chrysler.  But that doesn’t mean that the deal is dead, or that GM is walking away with holes in its pockets.

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Spied: 2010 Ram Hemi Hybrid

Diesel on-hold, but Dodge has a hybrid truck on tap.

by on Apr.18, 2009

While the Dodge Ram Diesel has been delayed, a Dodge Ram 1500 Hybrid is on the schedule for 2010 -- if Chrysler survives its current financial problems.

While the Dodge Ram Diesel is delayed, a Ram 1500 Hybrid is scheduled for 2010 - if Chrysler survives.

A diesel-powered Dodge Ram 1500 has been delayed, but the hybrid Hemi version is definitely happening for 2010. Our spy photographers caught it running undisguised in public during final testing.

The so-called two-mode hybrid powertrain was co-developed with GM, Mercedes and BMW. It’s the same setup found in the Chevrolet Silverado and GMC Sierra gas-electric hybrid pickups.

GM is supplying Chrysler with the advanced two-mode transmissions that will be used. The electrically variable transmission houses two 60kW electric motors that can power the truck on their own up to about 25 mph, depending on driving conditions. As the multi-displacement 5.7-liter pushrod Hemi V-8 gas engine kicks in, the electric motors will seamlessly support it, individually or in tandem, at low and high speeds, helping the engine enter fuel-saving four-cylinder mode sooner and stay in it longer to achieve maximum gas mileage. Regenerative braking is used to capture energy that would normally be lost during braking or deceleration. The energy is stored in the batteries for later use.

Click Here to SubscribeThe GM full-size hybrids can tow up to 6,100 pounds. The Ram is expected to tow about the same amount.

Additional pictures at LeftLaneNews.com

Photo Credit: Brian Williams Brenda Priddy & Co.