Chrysler Officials Drive Fiat 500 to New York Auto Show

We already knew that as part of the Chrysler - Fiat alliance the American automaker is going to bring a number of European models in the United States, but what we have here might be the first sign that a final deal could be reached anytime in the near future. According to media reports, Chrysler LLC's Vice Chairman and President, Jim Press, attended the unveiling of the all-new 2011 Jeep Grand Cherokee at the New York Auto Show driving a Fiat 500.

As we told you in our previous reports, Fiat 500 might be one of the first models to be launched in the United States as part of the alliance between the American and the Italian automaker. However, Chrysler is now facing a 30-day deadline to complete negotiations with Fiat and revise its restructuring plan submitted to the government on February 17.

According to the terms of the alliance, Fiat will get a stake of 35 percent in Chrysler and will use the American automaker's network dealership to expand its coverage in the region. On the other hand, Chrysler will sell in the US a number of fuel-efficient models produced by Fiat for European markets, a move that could help the company restore sales and remain in business without turning to job cuts.

"A Chrysler/Fiat partnership is a great fit as it creates the potential for a powerful, new global competitor, offering Chrysler a number of strategic benefits, including access to products that compliment our current portfolio; a distribution network outside North America; and cost savings in design, engineering, manufacturing, purchasing and sales and marketing," said Bob Nardelli, Chairman and CEO of Chrysler LLC in mid-January.