Chrysler laying off 150 in Wisconsin

The plant employs about 800 workers, including about 630 members of the United Auto Workers union.

The moves do not affect Chrysler's plans to introduce a new, more efficient V-6 engine family, known as Phoenix, starting next year. The engine will be an option in the next-generation Chrysler 300 rear-wheel-drive sedan that is due to launch in early 2010 and the Phoenix family will eventually replace all V-6s in Chrysler vehicles. There are no delays to that program, she said.

Phoenix is included in Chrysler's restructuring plan that was submitted this month to the federal government to support a request for $9 billion in federal aid. The automaker has received $4 billion to date. Chrysler's top executives had their first of what likely will be many meetings with the Obama Administration's auto team in the weeks leading up to the March 31 deadline for Chrysler to convince the team its plans will restore the company to health and enable it to repay the loans.

Chrysler is relying on the more efficient V-6 family and a potential alliance with Fiat SpA to supply smaller four-cylinder engines (1.1-liter to 1.8-liter) and dual-clutch transmissions to meet government and consumer demands for more fuel-efficient vehicles in the future. Fiat officials said today they have not been asked to answer questions about the Chrysler plan that includes it as a partner.

The plan said Fiat is interested in the Phoenix engines, as well as Chrysler's larger-displacement-sized four-cylinders (1.8-liter to 2.4-liter). Fiat could use the larger V-6 in proposed full-size sedans and crossovers for Fiat's Alfa brand, according to Chrysler's plan.

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