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Posts Tagged ‘Sergio Marchionne’

Chrysler Recalling Nearly 1 Million Vehicles

Maker still plagued by ongoing fuel pump problem.

by on Oct.16, 2014

Scott Kunselman heads up Chrysler's recently formed Vehicle Safety and Regulatory Compliance office.

Chrysler Group’s announcement today it is recalling 907,000 vehicles in two new campaigns is latest in a steady string of actions during the last six weeks from the Auburn Hills, Michigan-unit of Fiat Chrysler Automobiles.

The recalls involve faulty alternators and power mirror electrical connectors. There have been no injuries, fatalities or accidents as a result of either problem, according to the automaker.

Safety News!

Chrysler is recalling 470,000 2011-2014 Chrysler 300, Dodge Charger, Challenger, Durango and Jeep Grand Cherokee vehicles with a 3.6-liter engine and a 160 amp alternator because the alternator may suddenly fail and result in vehicle shutdown, shutoff or a fire. (more…)

Fiat – Chrysler’s Marchionne “Done” in 2018

Will leave future turnarounds to the “young punks.”

by on Oct.08, 2014

Sergio Marchionne may have reason to smile as he considers his retirement in 2018.

After helping lead the smallest of Detroit’s automakers out of bankruptcy while also turning around its Italian partner Fiat, CEO Sergio Marchionne says he’s close to “done” and ready to find something a little less challenging to do.

Marchionne’s key goal will be completed this coming weekend with the formal merger of the two companies into the new Fiat Chrysler Automobiles, or FCA, which will have its headquarters in London while being incorporated in the Netherlands.

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That leaves Marchionne the challenge of putting in place the company’s new business plan which will take it through to 2018 when he apparently plans to retire, he said during an interview with the Bloomberg news service.

“I am not going to do any more turnarounds,” he said, adding that, “I’m done. Let some of the young punks do it.”

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Chrysler Dumps Viper Racing Program

Move comes after program takes home championships.

by on Oct.07, 2014

Chrysler cut its SRT Motorsports Dodge Viper GTS-R racing program just after it won two championships.

After taking home a championship trophy last weekend, the Chrysler Group has dropped the Viper racing program supported by its Street and Racing Technology (SRT) unit.

“Our company has made a business decision to discontinue the SRT Motorsports Dodge Viper GTS-R racing program,” said Ralph Gilles, senior vice president of Product Design, Chrysler Group LLC, who has headed up the SRT program, which Fiat Chrysler Automobiles had considered making a separate brand at one point.

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“We are very proud of the amazing achievements our fantastic teams, drivers and partners have achieved on track the last few seasons,” he said. “We thank them for their hard work, effort and commitment to SRT Motorsports. Its been an honor to be a part of the inaugural IMSA TUDOR United SportsCar Championship season and we wish them every success in the future.” (more…)

European Car Market Still a Mess, Warns Marchionne

Fiat Chrysler CEO also raises concerns about Toledo Jeep plant.

by on Oct.07, 2014

New emissions standards, in general, are “one of the toughest issues we face,” said Sergio Marchionne, during the Paris Motor Show.

The large crowds pouring in for this year’s Paris Motor Show have given hope to industry planners waiting to see if the long European automotive recession has finally come to an end. But despite recent signs of a sales upturn, not everyone is convinced the world’s third-largest car market is finally in recovery mode.

“I’ve never been a firm believer in the recovery of Europe,” said Fiat Chrysler Automobile CEO Sergio Marchionne, during a meeting with reporters. “There are still some problems that plague us in getting this machine going again.”

A Real Performer!

Like a number of other industry leaders, Marchionne’s confidence appears to have been further shaken by last week’s announcement that Ford would not see the turnaround it had expected in Europe this year. That revelation triggered a sharp run on the maker’s stock, which fell nearly 20% in a matter of days. (more…)

Montezemolo Leaving Ferrari – and a Legacy –Behind

Falls victim to faltering race program.

by on Sep.10, 2014

Luca di Montezemolo at the Frankfurt Motor Show.

There aren’t many executives who would tell potential customers to go away. But that’s precisely what Luca di Montezemelo did – on several occasions – when he declared that the company he ran had no intention of increasing production despite the long line of monied fans waiting to buy a Ferrari.

Just weeks after turning 67, the aristocratic executive has handed in his resignation. But as he leaves Ferrari, Montezemolo also leaves behind an impressive legacy that could prove a daunting challenge to his successor.

A Legend!

He leaves the company after 23 years at the helm, and just as Ferrari gets ready to celebrate its 60th anniversary in the U.S. market, it’s largest. The company continues to turn in impressive financial results, but it isn’t without its problems, having posted some unexpectedly disappointing results in this year’s Formula One series – something Montezemolo himself recently described as “unacceptable.”

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Fiat Shareholders Avoid Scrap with Marchionne

Stock owners decide to ride it out with merged company.

by on Sep.02, 2014

Sergio Marchionne is certainly all smiles after Fiat shareholders gave their stamp of approval for the merger of Fiat and Chrysler.

Clearing what could be the last hurdle, Fiat Chrysler Automobiles is preparing move on to the next steps in its evolution.

Those steps include readying to list the newly merged company on the New York Stock Exchange in the middle of October and other details like formally changing the company’s named to Fiat Chrysler Automobiles NV.

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The company survived its first test after garnering enough support among the company’s Italian or European shareholders to complete the merger of the Italian and American companies into one corporate and financial entity. (more…)

Marchionne Forms New Safety Compliance Office

Chrysler Group renews focus on regulatory issues.

by on Aug.13, 2014

Scott Kunselman will head up Chrysler's new Vehicle Safety and Regulatory Compliance office.

Just a few months after Sergio Marchionne hired an outside firm to examine Chrysler’s recall efforts, processes and procedures, Chrysler Group created a stand-alone group to handle safety issues and it reports directly to Marchionne.

The Vehicle Safety and Regulatory Compliance office will be led by Senior Vice President Scott Kunselman and it “will help intensify the company’s continuing commitment to vehicle safety and regulatory compliance,” the company said.

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Prior to this, the company’s safety function was part of its global engineering group, and Chrysler’s top safety engineer previously reported to the senior vice president for engineering. While officials claim the new organization is just the result of periodic self-review, there have been plenty of reasons for the automaker to put such a group in place. (more…)

Marchionne Downplays Threat to Fiat-Chrysler Merger

CEO willing to wait out opponent shareholders,

by on Aug.06, 2014

CEO Sergio Marchionne is confident any shareholder backlash will only be a temporary roadblock.

Disgruntled Fiat shareholders could –  temporarily – thwart the completion of the Fiat-Chrysler merger, Sergio Marchionne, chief executive officer of both the Italian and American automakers, conceded.

During a conference call today with analysts and journalists, Marchionne emphasized that an adverse vote would not have a long-term impact on the meshing of the two companies.

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“We have to see how this game plays out,” Marchionne said during the call. “I am absolutely unfazed by this.”

With Italy teetering on the brink of recession and Fiat stock losing value, speculation is mounting that some Fiat shareholders may opt to cash out rather than accept stock in the new company.

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Fiat Profits Plunge 55%

CEO Marchionne points to runaway incentives costs.

by on Jul.30, 2014

FCA CEO Sergio Marchionne said the automaker needed to have great results in the next two quarters.

Fiat says its second-quarter profits plunged 55% as the maker’s U.S. partner Chrysler struggled to move old product with new incentives, while the Fiat side of the company dealt with a slowdown in South America.

Fiat, which expects to complete its takeover of the U.S. maker in October, earned a net profit of 197 million Euros, or $264 million, for the three-month period ending on June 30, compared with 435 million Euros a year before. On an EBIT – or earnings before interest and taxes – basis, the numbers dipped to 961 million Euros, or $1.3 billion, from 1.1 billion Euros a year earlier.

Insight!

“We had a crappy first quarter, a halfway decent second, and we need to have outstanding quarters in the third and fourth,” Sergio Marchionne, CEO of both Fiat and Chrysler, said bluntly during a conference call. (more…)

Fiat, VW Deny Merger Talks

But VW has hinted it’s still hungry for acquisitions.

by on Jul.17, 2014

VW's Winterkorn and Fiat's Marchionne shown emerging from a meeting in Geneva last year.

Volkswagen Chairman Ferdinand Piech has a voracious appetite – for acquisitions, that is, the recent additions of Porsche and truckmaker Scania AB to the VWAG family bringing to thirteen its global brand count. And he has openly expressed interest in adding more, his second-in-command, VW Chief Executive Martin Winterkorn even naming Alfa Romeo as a possibility.

So, why not go one step further and buy Alfa’s parent, the newly merged Fiat Chrysler Automobiles? Or so goes a story in Germany’s Manager Magazin that set the rumor mill ablaze today. It claimed that Volkswagen, the largest maker in Europe and the world’s second-largest, based on 2013 sales, had approached Fiat about selling it some or all of the Euro-American company.

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However, both companies are firmly denying the report, Fiat declaring in a statement that has, “not held discussions with Volkswagen regarding a potential merger.” For its part, a VW statement flatly said that, “There are currently no M&A projects on the agenda,” adding that, “We are now focusing on boosting efficiency within the Group.”

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