Fiat and Chrysler “merger” will meet Feb 17 deadline

Italian carmaker Fiat’s CEO told the Wall Street Journal that Fiat is  analyzing Chrysler for its intended alliance with the company but will conclude so Chrysler meets a February 17 U.S. government deadline.

Under the terms of federal loans that Chrysler has received, it must propose a plan by February 17 showing how it intends to be viable into the future. The agreement with Fiat is a key part of that effort.

Fiat Chief Executive Sergio Marchionne said the company was still analyzing the vehicle production operations of Chrysler and then will turn to studying its finances according to the Wall St. Journal.

Marchionne said that while Fiat will not put any cash into Chrysler it will provide small cars and fuel-efficient engines that Chrysler needs and would cost Chrysler $3 billion to develop.

Read more here

Advertisements
This entry was posted in automotive, Business, Economy and tagged , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s