Chrysler’s financial performance is even worse than first thought with latest reports claiming the carmaker’s loss could stand at $1.6 billion for the year. CEO Robert Nardelli has reportedly told a group of designers and engineers on Wednesday that company revenues will be less than $63 billion while costs will exceed $64 billion.

This is the second major insight into Chrysler’s financial performance since being bought by Cerberus Capital Management. Given its private status, Chrysler no longer needs to release its financial figures.

Last week, another Chrysler exec told business students in Halifax, Nova Scotia, that the carmaker would lose $1 billion on sales of $64 billion, reports The Detroit News. Meanwhile, former Chief, Daimler AG CEO Dieter Zetsche, said Chrysler is unlikely to be profitable though 2008 as well.