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You guys drive a Fiat? (slightly OT)


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Posted

Chrysler in talks to merge with Fiat

By Ed Brayton 1/20/09 7:00 AM

Automotive News reports that Chrysler is in talks with Fiat over a possible merger that would include giving the Italian automaker an equity stake in the third largest American car company.

According to people familiar with the matter in Europe and Detroit, Fiat could give Chrysler access to its mini, small and mid-sized car platforms, engines and transmissions.

This would allow Chrysler to quickly build a new range of front-wheel-drive, low-emission vehicles. Chrysler already has an agreement with Nissan Motor Co. that calls for Nissan to produce a small car based on the Dodge Hornet concept in calendar year 2010.

If the deal is completed, Fiat would get a 30-35 percent stake in Chrysler in exchange for Fiat’s platform, engines and transmission technology, sources told Automotive News Europe. Fiat would get options to acquire up to 55 percent of the automaker over time, The Wall Street Journal reported.

The article says that a preliminary agreement was signed last week and the details could be announced in the next few days

Posted

This would be cool, because I could by a Fiat 500 Abarth and has it serviced at my local Chrysler dealer!

Marty, thinking of the possibilities ........

Posted

Wow this company is going to be really spread out globaly. Daimler still owns 20% and now these guys will have 35%.

Posted

Fiat is probably a better fit than Daimler. It would allow Chrylser to produce small, fuel efficient, good quality cars and that is what the public is demanding. Throw a little public money in. They could call it K Car 2. Fiat is a huge global company and probably would be a good fit. I have a feeling Chrylser will not survive even with the bailout unless it can get products the public will buy on the market quickly.

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