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Chrysler's on the skids right now, no doubt about it. June sales plummeted 42 percent, and some consider its takeover by--errr, sorry, partnership with--Italy's Fiat to be the blind leading the lame. But Fiat is far from the company it was 20 years ago, when it folded its tents and snuck out of the US, leaving handfuls of rusting, unreliable hatchbacks strewn across the landscape. Today's Fiat brings at least two green innovations to Chrysler: the fantastic Fiat 500 minicar, in four variations, and MultiAir, a new engine technology said to boost fuel economy at least 10 percent. Four models of Fiat 500 Fiat has now confirmed that Chrysler will build and sell the cute, clever Fiat 500 model in North America--in either the US or its factory in Toluca, Mexico. As well as the standard hatchback, we'll get the 500C convertible with rolling cloth roof, a station wagon, and a sporting 500 Abarth from Fiat's racing partner of half a century.  A four-wheel-drive sport-utility vehicle is also said to be in development, but there's no confirmation yet. The great thing about the Fiat 500 is that it's not only adorable but wildly popular, and it's won rave reviews. It's so good, it even became Europe's Car of the Year for 2008. Fiat CEO Sergio Marchionne calls the Fiat 500 "our iPod", which indicates how the company hopes Americans will perceive it: small, stylish, and full of user-friendly functionality--though hardly at bargain-basement prices. Both gasoline and diesel models of the Fiat 500 return more than 40 miles per gallon in Europe, though US versions will have different emissions controls and more safety equipment. In size, the Fiat 500 will compete with the Mini Cooper (of course), as well as the Scion iQ, a three-seat minicar that looks more like the Smart ForTwo. Will it sell hundreds of thousands of units? Nope. But as a 'halo vehicle,' it will give Chrysler a dash of style and some awareness of fuel efficiency in a lineup sorely lacking in either. Multi-Air But Fiat also brings Chrysler an engine technology that has been talked about for decades but never successfully implemented. It's this kind of innovation that led Fiat to value its contributions to the partnership at $10 billion--meaning it put no actual cash into Chrysler. The MultiAir engine replaces traditional camshafts and valves with electronically controlled hydraulic valves, meaning the opening of each valve can be varied individually. Today's mechanically variable valve systems, from Honda and several other manufacturers, can only vary every valve by the same amount. On overrun, for example, some valves in a MultiAir engine might not open at all, meaning no gasoline would be used on that cylinder's combustion cycle. The same engine controller that adjusts each valve also regulates ignition timing, meaning a spark can be generated for the precise mixture in each cylinder--or not generated at all. Customizing the airflow into each cylinder and the spark timing uses less fuel and cuts carbon emissions by 10 percent or more. Pricier but smaller engines The MultiAir technology is pricier than standard valvegear, roughly the same as a diesel engine. Diesels customarily cost 10 to 20 percent more to build than gasoline engines of the same capacity. In Europe, the technology will likely appear on smaller four-cylinder engines, perhaps even two-cylinder motors. In the US, MultiAir may allow fours to generate V6 power, and V6s to offer as much horsepower and torque as a V8--very similar to Ford's EcoBoost system, which uses gasoline direct injection and turbocharging to achieve the same goal. With advanced engine technology and stylish, upmarket minicars, Fiat brings Chrysler strengths it's never had. The company could use them; its smallest current car, the 2009 Dodge Caliber hatchback, is far from competitive, and sales show it. Meanwhile, we're wondering how a Hemi with hydraulic valves would go over with the Mopar crowd. [Detroit News; AutoWeek]

Every time we make a joke involving the US Marine Corps, first we check it with our friend Cap'n Connors, a former Marine. With multiple deployments under his belt, and much multicolored art under his skin, the cap'n is our source for all things having to do with the most profane of the armed forces. Even he was impressed at the steps his service has taken to green its Camp Pendleton base along the southern California coast. And a substantial portion of their efforts go toward alternative-fueled vehicles. Most prominent are two Chevrolet Equinox Fuel-Cell Vehicles, the popular midsize crossover converted to electric power provided by the electricity generated in a hydrogen fuel-cell. They are part of "Project Driveway," General Motors' program to get real-world data on how drivers use more than 100 fuel-cell cars. The drivers come from government fleets, including the military, utility companies, private firms, and even civilians. Almost three years ago, we drove a precursor to the Equinox Fuel-Cell vehicles, the Chevrolet Sequel concept, at Camp Pendleton. As we said then, the most remarkable thing was how normal it felt: Behind the wheel, it drives and steers like a heavy SUV. The fuel cell vehicles are a tiny minority of the 3,000 vehicles on base, however. And they may remain that way; despite low-volume production vehicles from GM, Honda, and Mazda, the future of hydrogen fuel-cell power is likely to be postponed or usurped by electric cars with larger lithium-ion battery packs. The Marines are also using several hundred vehicles fueled by compressed natural gas, which has a far lower greenhouse-gas profile than do diesel or gasoline. The only such natural-gas vehicle available to civilians, however, is the 2009 Honda Civic GX. In addition to their vehicular efforts, base commanders have diverted 11,000 tons of landfill material through recycling, including spent shell casings and even scrap steel from old bridges. Next up: a composting program. But even if they're going green, we bet they still swear a blue streak. [San Diego News Network]

We're all irrationally fond of some cars, and one of ours is the 2009 Chrysler PT Cruiser. Technically, it's a small minivan, but the retro-styled gangster look has always disguised that fact completely. And, it's a remarkably practical car. Now comes the news that Chrysler reversed its previous death order, and will keep the PT Cruiser in production through 2011. Hurray! So what makes us so fond of the PT Cruiser? PROS Remarkably large and capacious interior for its size Versatility in hauling people, stuff, or any combination of the two High, upright seating position with superb visibility Relatively small size and maneuverability Cool retro dashboard styling doesn't impede usability CONS Dreadful, primitive four-speed automatic transmission Road and wind noise not up to modern standards (it was launched in 1999!) Gas mileage (18 mpg city / 26 mpg highway) only so-so Anti-lock brakes are optional The PT's only real competition is the 2009 Chevrolet HHR. It too is a retro-styled small minivan, but we've never warmed up to the HHR despite its better overall rating (7.2 versus 6.6) on TheCarConnection.com. To us, the HHR has lousy visibility, worse instruments, and a darker, more cramped-feeling interior.  Granted, its mileage is better (21 mpg city / 32 mpg highway), and we actually think the styling holds up a little better than the 2009 Chrysler PT Cruiser. But when faced with the choice, we'll take a PT Cruiser over an HHR at the rental desk any day. Especially in the city, the driving position and outward visibility--plus the pleasure of looking at the PT's cool dashboard--win out in our book. COMPARE: 2009 Chrysler PT Cruiser vs 2009 Chevrolet HHR The photo below, by the way, is the 2002 Chrysler PT Cruiser owned by auto journalist Rick Feibusch of Venice, California, complete with Thirties-style custom wheels. [Detroit News]