The Chrysler Group is preparing to retool its Sterling Heights, Mich., plant to build a new generation of mid-size vehicles, per a report in Automotive News this week. The industry weekly says Chrysler will revamp the plant to allow flexible production of many different models, which will enable it to build a range of new vehicles to emerge over the next couple of years, including the production version of the Dodge Caliber concept from recent auto shows. The plant's chief duty, however, will be to build the replacements for the Dodge Stratus and Chrysler Sebring sedans as well as the Chrysler Sebring convertible, beginning in time for the 2007 model year. The weekly says Chrysler will be able to build all the models at both Sterling Heights and in Belvidere, Ill., the plant where the Dodge Neon replacement is to be built for the 2006 model year.

Chrysler says the HEMI badge on its new vehicles is getting a boost. The company, riding a wave of booming HEMI sales-the HEMI engine accounts for 40 percent of the engines in many models, like the Chrysler 300C, says the size of the badge denoting the engine will grow by more than 100 percent. On sedans, it's getting 145 percent larger; on the Dodge Ram and Durango, it's growing by 136 percent. Chrysler says it's sold more than 500,000 HEMI engines since it was first introduced in the Dodge Ram pickup in 2003.