BLOOMINGTON - Mitsubishi Motors North America vehicle sales slipped another 4 percent in 2006, following a 23 percent decline in 2005.

The company sold 118,558 vehicles in the U.S. last year, down from 123,995 in 2005.

Mitsubishi officials, however, point to a 4 percent sales increase from April to December as a sign of brighter days ahead.

"We really look at things over our fiscal year, April through March," said spokesman Dan Irvin. "From April through December, we're up 4 percent (from the same time period in 2005), so that's all that really matters."

The recently redesigned Outlander crossover SUV is fueling a major increase in sales, Irvin said. Outlander sales were up 225 percent last month compared to December 2005, he noted.

With the new Outlander and a redesigned Lancer scheduled for release this year, Irvin said the company expects sales to increase throughout the year. He would not release sales expectations.

But fluctuating fuel prices could spark another difficult year for all automakers, said Dave Cole, chairman of the Center for Automotive Research in Ann Arbor, Mich. Sales declines are more likely than sales increases, he said.

"(Mitsubishi) cannot absorb market-share decreases forever," Cole said. "But what's the breaking point? That's hard to tell."

U.S. auto sales totaled 16.55 million in 2006, according to analysts Morgan & Co., meaning Mitsubishi's share of the market was about .7 percent.

The company's U.S. sales have been on a steady decline since Mitsubishi set a U.S. sales record of 345,000 in 2002. Mitsubishi sold 256,810 vehicles in 2003 and 161,609 in 2004.

The decline has been felt at the Normal manufacturing plant. In 2004, it laid off about 1,200 workers and eliminated its second shift. Last year, it trimmed its 1,850-member workforce by about 7 percent.

In addition, members of United Auto Workers Local 2488 approved a series of wage and benefit cuts in September to help Mitsubishi right the ship.

At the time, some workers voting against the cuts questioned whether the Normal plant could survive.

Irvin wouldn't speculate on what would happen if sales continued to decline, saying the company didn't expect that to happen.

He also said engineers are working on a redesigned 2009 Galant, which would be manufactured at the Normal facility next year.

In the last six months, workers at the Normal plant have worked overtime, a good sign, said Local 2488 President Ralph Timan.

"But going into the new year, we're back on an eight-hour shift," he said. "Going forward, we need to be working overtime because that shows that sales are going up."

Yearly production numbers for the plant have not yet been released.

---

Mitsubishi sales

2006; 2005

January - 7,469; 7,269

February -7,976; 12,477

March - 10,250; 14,776

April - 10,841; 9,230

May - 11,821; 11,380

June - 10,004; 10,621

July - 10,502; 10,376

August - 10,954; 10,945

September -10,287; 9,054

October - 9,288; 9,292

November - 9,256; 8,902

December - 9,910; 9,673

Total - 118,558; 123,995

Source: Mitsubishi Motors North America