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Chrysler Corp. said it has replaced its...

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Chrysler Corp. said it has replaced its existing buying incentives with rebates as high as $2,500 on one model. Analysts said Chrysler’s rebate program could herald a price battle between major U.S. car makers as they all seek to trim large inventories amid ailing demand. The Detroit-based car maker said its “America’s Winners” rebate program would include selected 1987 and 1988 models. Some rebates of $500 are included in the program. Chrysler said the $2,500 rebate applies only to New Yorker E-body models.

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