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Fiat’s European investments will be cut by around €500 ($630) million, according to CEO Sergio Marchionne, due to the fact that the Euro market is not seen as being able to recover from the economical crisis by the end of 2012.
Marchionne stated that "the capital expenditure reduction is about half a billion euros from what we planned last year for 2012 in Europe," and with a European recovery depending “on many factors: first Greece, then the way in which the euro currency will continue and what Europe will do to sustain growth," cars like the new Grande Punto are being “reconsidered in line with the changes” - meaning the Grande Punto may not see the light of day in 2013.
Also, according to Marchionne, Fiat will increase their stake in Chrysler this year, paying less than €200- ($252-) million to increase their shares in the American company by 3.3% to 61.8%, with the rest of the shares costing Fiat an estimated €3- ($3.77-) billion to obtain, however, the actual sum which is to be paid is still uncertain.
Story via autonews.com
Also, according to Marchionne, Fiat will increase their stake in Chrysler this year, paying less than €200- ($252-) million to increase their shares in the American company by 3.3% to 61.8%, with the rest of the shares costing Fiat an estimated €3- ($3.77-) billion to obtain, however, the actual sum which is to be paid is still uncertain.
Story via autonews.com
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