Fiat losses widen on Chrysler deal

Associated Press ^ | May 6, 2014 6:06 PM EDT | Colleen Barry

[Olog-hai]

Fiat SpA’s deal to complete its purchase of Chrysler helped widen first-quarter losses, the Italian car maker reported Tuesday following a day-long presentation in Detroit of its new five-year business plan for the combined automakers.

The Italian carmaker, based in the northern city of Turin, saw first-quarter losses widen to €334 million ($465 million) from €83 million last year, due to expenses related to the Chrysler deal logged in the first quarter. …

[bravo whiskey]

when you buy crap, you lose

[GeronL]

I hope we aren’t going to bail out foreign companies too

[RegulatorCountry]

Fiat CEO Sergio Marchionne reached a $3.65 billion deal in January to acquire the remaining 41.5 percent of Chrysler that was still owned by a union-controlled trust fund. The combined Fiat Chrysler Automobiles, which becomes official after a shareholders vote this summer, aims to join the top ranks of global automakers on the sales at Jeep, Alfa Romeo and Maserati -- which Marchionne sees as the carmakers' brands with the greatest worldwide appeal.

The loss was due to buying out the remainder of Chrysler Group, LLC from a union trust fund.

[Veggie Todd]

Can you buy one with fiat currency?

[Yo-Yo]

Chrysler worked their magic on Daimler Benz, now it’s on to Fiat. If Chrysler is then bought by a Japanese auto company (Mazda, are you listening?) then we will have the trifecta of WWII axis powers being defeated by a U.S. Company (from within...)

[jjotto]

Sergio Marchionne is clueless. Look at the example of Alfa-Romeo’s reintroduction to America. The Alfa 4C was touted as an upscale Mazda Miata, which sells for under $30k.

The Alfa was months or years behind schedule, sells for at least half again as much as was intended, and US sales are limited to a few thousand or possibly even hundreds of copies through Maserati dealers instead of generating interest at Chrysler.

Fiat botched the very promising Dodge Dart too.

Yes, Marchionne’s Fiat is trying to get on the American taxpayer gravy train.

[staytrue]

“Chrysler worked their magic on Daimler Benz, now it’s on to Fiat. If Chrysler is then bought by a Japanese auto company (Mazda, are you listening?) then we will have the trifecta of WWII axis powers being defeated by a U.S. Company (from within...)”

Pretty funny. But the Japanese company that needs to buy it is Mitsubishi former maker of the Japanese Zero.

[Yo-Yo]

Fantastic call! My bad for missing it.