• Apr 6, 2011
Fiat currently owns 25 percent of Chrysler, but that stake will reportedly jump to 30 percent in the next couple weeks. Automotive News reports that the Italian automaker is weeks away from satisfying additional requirements needed to bump the ownership stake by another five percent.

Unnamed sources claim that Fiat has already met a requirement that states that Chrysler receives $1.5 billion of its revenue outside of North America. The next step is to offer Chrysler vehicles to 90 percent of Fiat's Latin American dealers. Fiat will reportedly meet that goal by rebadging Chrysler vehicles as Fiats at Latin American dealerships. One vehicle that will reportedly receive the rebadge treatment is the Dodge Journey, which will be built in Mexico and renamed the Fiat Freemont. Fiat currently holds the largest share of the emerging Brazil market, with a substantial 22.3 percent share.

Fiat will receive another five percent of Chrysler by building a Fiat-based product in the U.S. that hits 40 miles per gallon or better. If Fiat wants to increase its share to an absolute majority of 51 percent, the automaker will need to fork over $1.14 billion by the end of the year. If the automaker waits until 2012, that number will jump to $1.37 billion.

[Source: Automotive News – sub. req.]


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  • 15 Comments
      • 3 Years Ago
      They seem to be doing a much better job running Chrysler than Daimler did.
        • 3 Years Ago
        My only concern is what happens when Sergio retires or is god forbid forced out? Most of the European auto industry is of a similar mindset as Daimler.
        • 3 Years Ago
        Sigh... No, they didn't. All they gave was some rear suspension pieces (that had to be re-worked by Chrysler to fit), the steering column and electronics. And then Daimler overcharged for them and said that car was an "old" E Class platform (didn't want their current customers to think that their new E's were not "special").

        When is this myth/urban legend going to die?
        • 3 Years Ago
        Well, they did give them the E-Class platform to underpin the 300/Magnum/Charger/Challenger, but that's about it. Then Cerberus, who didn't have a clue about how to run an automotive company, thought they could just flip Chrysler and make money off of it. We all know how that turned out.
        • 3 Years Ago
        Don't forget the Crossfire which was literally an older generation SLK in drag with a Chrysler interior.
      • 3 Years Ago
      Hey at least they can remove chrysler from the UAW's grasp little by little it can workout. As long they give up alfa romeo and expand the fiat line in the U.S.
      • 3 Years Ago
      Chrysler runs Chrysler, other than sharing a CEO with Fiat the relationship is pretty similar to Nissan and Renault which are two separate companies. Many of the product refreshes and new stuff like the Grand Cherokee were concieved and started under Daimler, the divorce and bankruptcy.
        • 3 Years Ago
        The two also share program managers: Chrysler and Lancia for instance. Plus they are sharing designs. An example of that would be the new Dodge small car, which will be built on a widened version of a Fiat platform, which will then be modified to make a Fiat to be sold in Russia and China and possibly even a Lancia version for Europe. The same platform will underpin the upcoming small Jeep as well as an Alpha Romeo. Those two will be built in Italy. Their futures are very much intertwined.

        • 3 Years Ago
        Not true
        All the major strategic decisions are made by Marchionne, he even get involved in micro managent.
        When the new Dodge Charger had an electric problem, he called everyday personally Dodge engineers asking when the problem was going to be sorted.
        Of course Chrysler design its own cars, but Marchionne has a big part in what they can design and what not, influencing the brands MD
        Also Fiat is Shareholder of Chrysler, they are not 2 separate groups managed by one person like Nissan/Renault.

        Eventually the 2 companies will merge, unlike Nissan/Renault.
      • 3 Years Ago
      Well, they did give them the E-Class platform to underpin the 300/Magnum/Charger/Challenger, but that's about it. Then Cerberus, who didn't have a clue about how to run an automotive company, thought they could just flip Chrysler and make money off of it. We all know how that turned out.
        • 3 Years Ago
        Nope, that platform was mostly done by the time Daimler showed up. All those guys did was slow the debut of the 300C by a year so they could adapt the E-class rear suspension bits and pieces to it for cost savings.

        How rear-suspension ended up as the entire platform in the media, I guess we will never know.
        • 3 Years Ago
        AOL, you and your commenting engine suck.
      • 3 Years Ago
      I´m from Finland and i wery much like Chrysler/Dodge vehicles, but now when all new Chrysler models are going to be marked as LANCIA and Dodge models to be FIAT, i must say, that people are going to avoid them.
      Chrysler&Dodge are known as AMERICAN cars, but when you stick an Italian badge on them, the whole thing just goes down.
      I dont know anybody, who would buy for example Chrysler 300C with a Lancia Thema name on it. (at 80´s & 90´s Lancia was made of rust).
      They have so bad echo in Finnish and many other Europeans peoples mind. Affordable italian cars have allways been crap, (exclude Ferrari, Lamborghini...).
      It just kill´s me that the sales of Chrysler & Dodge are going to be lower in Finland, but until somebody talks some sense to Italians, what can you do.
      • 3 Years Ago
      Good news for Chrysler (on the surface anyway).
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