PT's demise has lessons for partners of Chrysler

DETROIT - A decade ago, the PT Cruiser roared onto the road with trendsetting looks and Al Capone swagger. Alongside bland Honda Civics and Toyota Camrys, it was a retro hit. Chrysler barely could keep up with demand.

Yesterday, the last Cruiser rolled off the assembly line in Mexico, finally killed off after years of falling popularity. Chrysler Group LLC sold just 18,000 last year, compared with nearly 145,000 in 2001.

The PT is symbolic of the larger problems that helped drive Chrysler into bankruptcy - and a cautionary tale for its new owners, who are planning a similarly stylish car.

With flared fenders, a sloping hood, and tall doors, the Cruiser was a cross between an old-time milk truck and 1930s sedans. Its looks were different from anything on the road.

"…It was jaw-dropping," Iowa car dealer John McEleney said.

All ages loved the Cruiser, said analyst Aaron Bragman at IHS Automotive, who had a turbocharged PT Cruiser GT.

But Chrysler failed to expand its appeal beyond new paint colors or a convertible top, and ignored fans who wanted two-door and panel-van versions.

After nine years with Daimler AG, the firm was sold in 2007 to Cerberus Capital Management, which led it into bankruptcy.

Chrysler's new owner, Fiat Group SpA, plans to revamp most of its lineup but isn't moving as quickly as its competitors.

Between 2011 and 2014, the average Chrysler model will be on the market for 3.1 years, compared with an industry average of 2.5 years or Honda's 1.9 years, Merrill Lynch analyst John Murphy said.