By Jeff Bennett and Kate Linebaugh

DETROIT -(Dow Jones)- Chrysler Group LLC said it will break even on an operational basis by mid-2010 and pay off its U.S. government loans by 2014.

The company plans to use a wide array of new products, expansion into international markets, advertising and new brand images to reach its forecasts.

The auto maker, guided by Chief Executive Sergio Marchionne, estimates that its revenue will grow to $67.5 billion by 2014 and expects its net debt to be $3 billion positive during the same time frame.

"The future of Fiat's car business and Chrysler are now inextricably intertwined," Marchionne said Wednesday. "We have started the painful and difficult job of rebuilding equity in all our brands." Italy's Fiat SpA (FIATY, F.MI) acquired a 20% stake in the U.S. car maker earlier this year; Marchionne is also Fiat's chief executive.

Chrysler expects an operating profit of $1.6 billion to $2.4 billion in 2011, increasing to $4.7 billion to $5 billion in 2014. The auto maker expects it will have negative free cash flow of $1 billion in 2010, but also expects it will have positive free cash flow of $1 billion in 2011 and $3 billion in 2014.

The auto maker's leadership doesn't expect the company to go public before 2011. That decision will rest with the executive board of directors.

"This plan is ambitious but it is serious," Marchionne said.

He added that Chrysler will remain focused on running plants to meet demand and anticipates cutting output in the fourth quarter.

"We're not chasing market share," Marchionne said. "I am interested in volume. Chasing share in this market is going to be a disaster. We have cleaned up and there is no reason to go out there and get muddied again."

--By Jeff Bennett and Kate Linebaugh ; Dow Jones Newswires; 248-204-5542 jeff.bennett@dowjones.com;

(END) Dow Jones Newswires

11-04-09 1836ET