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Archive for the ‘Fiat’ Category

FCA Reports Lower Than Expected Earnings as it Mourns Marchionne

Former chief memorialized with a moment of silence on earnings call.

by on Jul.25, 2018

Mike Manley, new CEO of FCA, led a moment of silence today before leading the reporting of the company's second quarter earnings.

Fiat Chrysler Automobiles reported Q2 earnings that were lower than expected, but that was surpassed by news that former CEO Sergio Marchionne died due to complications from surgery in Switzerland.

The company’s executives, including the newly appointed replacement for Marchionne, Mike Manley, soldiered on through the earnings call, starting with a moment of silence to honor the man many believe saved Chrysler from extinction.

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Then they moved on, as they believed Marchionne would have insisted, to describe how slow sales in China put a drag on the company’s earnings results despite impressive sales in North America during the first half of the year. (more…)

Former FCA CEO Marchionne Dead of Stroke at 66

A “force of nature,” the Italian-born exec rescued two car companies.

by on Jul.25, 2018

Sergio Marchionne was a dynamic game-changer that many could only watch as he raced by.

Sergio Marchionne, a man more than once called “a force of nature,” has died from a stroke at the age of 66, an unexpected complication following what had been expected to be “routine” shoulder surgery last week.

In an era when many businesspeople crave anonymity, Marchionne’s public appearances often turned into events, rather than mere news conferences. And perhaps for good reason considering there are few executives who could lay claim to having saved two separate automakers, Fiat and Chrysler, before bringing them together to form a global powerhouse.

Word that something had gone wrong came around noon Eastern time on Saturday when FCA issued a brief statement revealing that the Italian-born and Canadian-educated Marchionne experienced “unexpected complications,” and that his conditions had “worsened significantly in recent hours.” Subsequent news reports from Europe indicated the executive had suffered a stroke, fallen into a coma and was placed on a ventilator at a Swiss hospital. FCA issued another terse statement indicating his passing early this afternoon in Europe.

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Manly Manley Facing Tough Challenges at FCA

Great track record at Jeep, Ram, but lots more to do, observers caution.

by on Jul.23, 2018

New Fiat Chrysler CEO Mike Manley is not sliding into a cushy job, rather it is a position that faces several difficult challenges in the near and long term.

The head of Fiat Chrysler’s European, Mideast and African business operations reportedly has stepped down, the apparent departure of Alfredo Altavilla kicking into high gear what could become a period of significant turmoil in the automaker’s senior ranks touched off by the unexpected departure of long-time CEO Sergio Marchionne over the weekend.

The 66-year-old Marchionne, who brought Fiat in as a white knight to save Chrysler after its 2010 bankruptcy, was replaced over the weekend by Michael Manley after suffering a grave decline in health following seemingly routine shoulder surgery last week.

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The 54-year-old Manley was considered the front-runner to replace Marchionne when he retired nearly a year from now, but the unexpected shake-up will put plenty of pressure on the new CEO to hold things together while also moving ahead with the new FCA five-year plan Marchionne unveiled barely two months ago. Altavilla was seen as one of the other senior execs positioned to succeed Marchionne and it remains to be seen if his departure could be followed by others. (more…)

Detroit Auto Show Moving to June in 2020, Adding Major New Features

Sponsors aim to revive what's been North America’s leading car show.

by on Jul.23, 2018

Toyota Pres. Akio Toyota is shown here revealing the 2019 Camry during this year's NAIAS.

The North American International Auto Show will move from January to June in 2020, a new timeslot that organizers are betting will help revive the flagging momentum of what had long been one of the industry’s most important annual events.

The Detroit Auto Dealers Association had signaled its intention of abandoning its traditional, mid-winter schedule, though a switch to October was also under study. But that would have conflicted with other shows in Europe and Asia, the dealer group’s Executive Director Rod Alberts told TheDetroitBureau.com in an exclusive interview.

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In a background briefing ahead of today’s official announcement, Alberts said one of the advantages of a summer event is the ability to add new functions that expand beyond the confines of Detroit’s sprawling Cobo Hall convention center. “We realized we have to change the show (and) showcase Detroit, too,” said Alberts, who has been running the DADA for the past 28 years.

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Marchionne Out, Manley In as Fiat Chrysler CEO

Questions about health issues blamed for Marchionne’s early departure.

by on Jul.21, 2018

Larger than life: Marchionne outlined a broad 5-year-plan during a day-long June session in Milan.

Fiat Chrysler Automobiles announced on Saturday that Jeep and Ram brand boss Michael Manley will replace CEO Sergio Marchionne, who due to complications from recent surgery is gravely ill and will not return to work.

Though the 66-year-old Marchionne was known to have undergone surgery this past week for what was reported to be a shoulder problem. According to FCA’s statement, the Italian-born and Canadian-educated Marchionne experienced “unexpected complications,” while his conditions had “worsened significantly in recent hours.”

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Word of Marchionne’s departure quickly echoed through the automotive grapevine. Few industry executives have had a higher profile presence in recent decades, and even fewer could be said to have done more to shape a company in his own image as did Marchionne, who rescued the then-bankrupt Chrysler by securing a U.S. government bailout and then merging it with Italy’s Fiat S.p.A.

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Fiat Auto Union Protests Signing of Ronaldo

Fiat, Juventus owned by same company — that can't pay raises to union.

by on Jul.13, 2018

Unione Sindicale di Base, the union representing workers at the Fiat plant in Melf, Italy, are protesting the signing of Cristiano Ronaldo.

(This story has been updated.)

The World Cup will be decided this weekend but Italian auto workers are threatening to go on strike at a Fiat plant in Southern Italy over the Agnelli family’s decision to pay the equivalent $117 million for the services one of soccer’s superstars.

The Italian club, Juventus, which is owned by Exor, the Agnelli family’s holding company which also owns Fiat, signed Portuguese star Cristiano Ronaldo to a contract, stealing him away from Real Madrid, the high-profile club for which he played for the past nine seasons.

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Exor own 29.1% of Fiat’s shares and 64% of Juventus, which like other major European football franchises has exploded in value during the past decade and Fiat CEO Sergio Marchionne also serves on Exor’s board. (more…)

Dodge Boss Beahm Fills in the Blanks About Brand’s Product Plans

“Everything will have a performance element.”

by on Jun.28, 2018

Dodge boss Steve Beahm with the 2019 Dodge Challenger ScatPack discussed the brand's future.

During a daylong session in Milan, Italy, earlier this month, Fiat Chrysler Automobiles’ senior management team offered an in-depth look at the company’s next five-year plan – but they focused all but exclusively on four global FCA brands: Jeep, Ram, Alfa Romeo and Maserati, raising more questions than answers about the company’s two other U.S. divisions, Chrysler and Dodge.

While the fate of the Chrysler brand appears to be far from certain, there’s far more opportunity for Dodge, it appears, albeit as a niche brand increasingly focused on muscle.

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“Any vehicle in the Dodge brand going forward will have a performance element to it,” said Steve Beahm, the head of Dodge and the other U.S. passenger car brands, in a conversation with TheDetroitBureau.com. (more…)

Paris Motor Show Exodus Accelerates

Key FCA brands follow BMW, Ford, Nissan and VW out the door.

by on Jun.04, 2018

This scene is not going to play out this fall at the Paris Motor Show.

It’s looking likely to be rather lonely at the Paris Motor Show this year with a rapidly growing list of major manufacturers announcing they will be no-shows next autumn at an event that has traditionally been a must for the industry.

Auto shows, in general, are coming under scrutiny as manufacturers begin weighing their costs and benefits, and start comparing them to marketing alternatives such as the Consumer Electronics Show in Las Vegas, the Mobile World Congress in Barcelona, and even the annual Pebble Beach Concours d’Elegance.

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Fiat, Alfa Romeo and Jeep will be holdouts at the 2018 Mondial de l’Automobile, which was set to begin on Oct. 2 with two days of press debuts, and then remain open to the public through Oct. 14. Fiat Chrysler Automobiles will still show off its Maserati brand, as well as Ferrari. (more…)

In Final Move as FCA CEO, Marchionne Expected to Order Massive Shift in Product, Manufacturing Plans

Small Fiat models likely to be dropped, brand may leave U.S.

by on May.18, 2018

Could FCA pull the Fiat brand out of the U.S.?

As Fiat Chrysler Automobiles prepares for life beyond its founding chief executive, CEO Sergio Marchionne is expected to announce major shifts in the automaker’s product and manufacturing strategy, according to several reports.

During a June 1 meeting meant to reveal FCA’s next five-year plan, the 65-year-old executive reportedly will announce that the Fiat brand will abandon two of its base models, the Punto and Mito, while shifting emphasis to more up-market models. The automaker also will put more emphasis on its Jeep brand which, Marchionne said during the Detroit Auto Show earlier this year, could help Fiat Chrysler double its earnings during the next five years.

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One of the key questions hanging over the Euro-American automaker may not be resolved during a meeting bringing together analysts and journalists from around the world: who will replace Marchionne as CEO? He has dropped hints that his successor will come from FCA’s current top management ranks, which means no women or outsiders are in the running.

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Fiat Chrysler Said to be Exiting Diesel Business on Car Side

Plan reportedly set to be announced in June.

by on Feb.26, 2018

FCA appears ready phase out diesels in all but pickups and Jeeps.

Fiat Chrysler Automobiles plans to end production of diesel-powered passenger cars by 2022, according to a newly published report, though it left open the possibility the automaker will continue offering the high-mileage technology in some of its trucks.

The plan is set to be announced in June as part of the broader five-year strategy the carmaker will unveil – about the same time it is expected to outline plans to replace the soon-to-retire CEO Sergio Marchionne.

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A phase-out of diesel production by FCA would not be entirely unexpected in the wake of the Volkswagen emissions cheating scandal sales of the technology has slumped in many markets, especially in Europe. And regulators in many places, including the city of Paris, are now considering diesel bans. Porsche last week announced its own plan to phase-out the technology. (more…)