FARMINGTON HILLS, Mich. -- In light of declining vehicle sales, tight capital markets and the decision to shift Chrysler Group LLC subvented retail business to GMAC, Chrysler Financial has announced it will restructure its business operations to align operating expenses with current revenue expectations. The moves will result in the reduction of approximately 9 percent of the company’s workforce.

Effective today, there will be workforce reductions in each of the company's eight business centers and at the corporate headquarters in Farmington Hills, Mich. Through this restructuring, all U.S. retail credit acquisition activities will be consolidated into the Great Lakes Business Center in Auburn Hills, Mich. In addition, the company is also announcing the closure of its Kansas City Customer Contact Center in Overland Park, Kan., effective Aug. 31.

"While these were difficult decisions to make, they are necessary in light of our declining portfolio," said Tom Gilman, chairman and CEO, Chrysler Financial. "We have made every effort to limit the number of job losses and to ensure the affected employees are treated fairly."

As a standalone financial services organization, the company continues to offer dealership insurance and consumer retail financing products, and to service and collect on its on-going loan portfolio of about $45 billion. Chrysler Financial said it will continue to evaluate its business operations to ensure operating expense targets are in proper alignment with revenue opportunities.