Chrysler on the road to profit

US CARMAKER Chrysler took a step closer to profit in its fourth quarter results, despite losses of $199m (£125m).

The firm narrowed its losses from October through December last year from the $2.7bn deficit it recorded for the same period of 2009.

Chrysler, which is controlled by Italian carmaker Fiat, also predicted it would return to profits of between $200m and $500m this year.

The US and Canadian governments propped up the firm during the financial crisis and could sell a 10 per cent stake in the company this year in an initial public offering.