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Chrysler Takes Charge on Venezuela Currency
Chrysler Group has joined General Motors and Ford in booking a first-quarter charge for an exchange rate adjustment for Venezuela's volatile currency.
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Chrysler Group has joined General Motors and Ford in booking a first-quarter charge for an exchange rate adjustment for Venezuela's volatile currency.
Chrysler says in a regulatory filing it will take a $130 million pretax charge because it will assume a less favorable exchange rate of 10.7 Venezuelan bolivars to the U.S. dollar instead of the official rate of 6.3.
Earlier this month GM and Ford announced they will take charges of $400 million and $350 million, respectively, for the same adjustments. They are assuming an exchange rate of 10.8 bolivars to the dollar.
Chrysler cautions that uncertainty over the rate may continue to hurt its business in Venezuela.
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