(December 15, 2010) AUBURN HILLS — Following recent announcements that it would invest nearly $1.2 billion in its Kokomo, Ind., facilities, Chrysler Group confirmed that it is looking to invest another $85 million in its Kokomo Transmission Plant (KTP) for a variety of powertrain improvements.

With this announcement, the company’s total investment in U.S. facilities would climb to more than $3 billion since June 2009.

Chrysler notified city officials of the potential new investment at the Dec. 13 Kokomo City Council meeting. At the same meeting, Chrysler also requested the transfer of the previously approved tax abatement certificate on the announced $300 million investment from Indiana Transmission Plant I (ITPI) to KTP to facilitate the production of the next generation eight-speed transmission.

“We’re moving eight-speed production to KTP because we’re pulling production ahead and the timing worked better at KTP,” said Brian Harlow, Vice President and Head of Powertrain Manufacturing, Chrysler Group LLC. “This move opens up space at ITPI to prepare the plant for production of the front-wheel drive transmission, which we announced in November.”

At the Dec. 13 meeting, the Kokomo City Council also approved Chrysler Group’s tax abatement application on the $843 million investment for production of the front-wheel drive transmission.

“We are grateful to Mayor Goodnight and the Kokomo City Council for their continued support of Chrysler Group,” said Harlow. “These investments demonstrate our commitment to this community and our workforce. We look forward to continuing a partnership that will secure Kokomo’s position as the center of our powertrain strategy.”