Chrysler submits a detailed plan for its own urgent turnaround which includes cutting CEO Bob Nardelli's salary to just $1 a year.

Chrysler LLC has a plan to rescue itself. With US Federal government money. The plan is quite detailed, as any plan to save a billion-dollar business would be. So we'll highlight just some of these.

The company says it has made several changes to itself as a matter of strategy since it became independent of the DaimlerChrysler grouping. About 1.2 million units of capacity were eliminated, fixed costs reduced by $2.4 billion, and improved its standing on the JD Power quality scores.

However, Chrysler still needs funding to prop up its cash flow, no thanks to the current credit crunch and buyers not walking out of dealer floors with as many cars as they did a few years ago. The money will be split, among others, in the following ways: $8.0 billion in payments to parts suppliers, $900 million in wages and $500 million in healthcare and legacy costs.

Chairman and CEO Robert Nardelli also says he will cut down his salary quite drastically. "I receive a salary of $1 a year," he said. "I have no employment contract, no change of control agreement, no "golden parachute," and receive no health care or life insurance benefits from the company. We are committed to negotiate concessions from all of our constituents." Furthermore the CEO believes Chrysler will be in a position to start paying back a possible loan in 2012.

Nardelli says his company is geared towards making a commitment of sustainable product, beginning with 24 major launches from 2009 right up to 2012 of all types of vehicles, most of which will be vastly improved to cope with current economic and environmental requirements. Why it's taken Chrysler this long to go this route is a question many are asking.

Chrysler Turnaround Plan Highlights