Chrysler Can't Dodge Bad News (F, TM)

In a world in which the automotive industry is completely turned on its head - with industry leader Toyota (NYSE: TM) battered by wave after wave of bad news, and Ford (NYSE: F) apparently rising from the ashes - at least one thing is normal.

Chrysler isn't doing so well.

Once upon a time, Chrysler was a member of the Big Three. Now, due to the fall in popularity of its leading brands, including Dodge and Jeep, it is merely a member of the Big Seven, as it is now number 7 in terms of sales in the U.S.

More than half of its sales in 2010 went to fleet customers, such as rental car companies. This is, of course, not indicative of strong consumer demand; rather, it is indicative of Chrysler taking on serious discounts in order to make these bulk sales. Plus, sales as a whole dropped 3% - not a massive amount, but any decrease is bad news for Chrysler.

In fact, sales to consumers themselves has fallen more than 44% so far in 2010.

Toyota's self-inflicted injuries are also not really helping Chrysler that much, since Chrysler's brands by and large are not in competition with Toyota's once-fearsome fleet of compacts and mid-size sedans. If the collapse of the global leader can't do much for your business, you know you're in trouble.

Experts do not expect Chrysler to make the complete 180-degree turn necessary for survival during the upcoming year, although they do expect the company to hold on. What does this mean? Expect Ford to continue to increase - and look out for that rumored GM IPO later this year.