Alfa back to the US with Chrysler?

[AlfaVeloce]

Quote:

Originally Posted by Gubi Next up: Chrysler TC2 by Alfa Romeo.

[dscottj]

The PDF article is interesting, but the bit about "all gone" is wrong. I've seen at least 3 for sale in the past two or three weeks, presumably from speculative dealers.

[Anfanuts]

Quote:

Originally Posted by GuerrillaGarage The fact that the deal would give Chrylser instant access to world class engineered minicars is great. The smartest thing they could do would be to start manufacturing Fiat 500s in the USA today and get them to market ASAP. The problem is the Chrysler corporate culture is such that they hate those "commie cars". Did anybody ever try to get their Milano or 164 serviced at Chrysler dealership after Alfa pulled out of the US? Those guys hate foreign cars. They hated Mercedes and drove them out, does anybody think it will be any different with Fiat? The US dealers and manufacturing people would rather see Chrysler go broke than build "commie cars". -Steve

[Aghevli]

Hmmm....

All this talk of American car companies going red seems to have inspired Fiat. What next? Can we anticipate that Fiat will officially rename the color of "Alfa Red" to "Brigate Rosse"?

[dretceterini]

Quote:

Originally Posted by AlfaTango1 At our latest San Diego version of Cars & Coffee I saw the Chryslerized Maserati! I wanted to meet the guy who had the nuts to bring that thing to the show

[Anfanuts]

Worse yet now, Fiat wants US taxpayers to pay for their merger. I think I'll pass on this one.
LINK.
LINK2.

[steve69]

Like it or not, Fiat has taken a 35% stake in Chrysler. They have not committed any money, just technology. It makes getting federal funds intersting since, if this comes to pass, Chrysler will be 54.9% foreigh owned. Since neither Fiat or Daimler will put money into this venture it seems like it's still borne.

[MarkZ]

News from LeftLane

Chrysler, Fiat designers meet to discuss future portfolio

With the Chrysler-Fiat alliance looking like a sure-fire thing, designers from the two automakers have agreed to get together late this week to discuss what a Chrysler lineup infused with Fiat engineering and DNA would look like for the North American market, as well as what Fiat would need to do to bring Fiat and Alfa Romeo cars over the Atlantic and into American and Canadian showrooms again.

At the Automotive News World Congress in Detroit last night, Chrysler design vice president Ralph Gilles addressed the task at hand for Chrysler and Fiat.

“This week and the months following we will meet with the design studios at Fiat and figure out” what vehicles from the Fiat stable will be adapted to the U.S. market, he said.

Chrysler will draw heavily on Fiat’s strength in small car segments in Europe. Platforms used by Alfa Romeo, Maserati, Lancia and Ferrari - all of which fall under the Fiat Group’s umbrella - likely won’t see Chrysler badges in the future.

“There may be situations where we can bring their vehicles in as is and there will be great opportunities to do products based on the Fiat DNA,” he said.

Gilles also pointed out the deficiencies in Chrysler’s U.S. lineup for the future.

“When you look at our portfolio,” he said, it is “somewhat truck heavy, very practical vehicles, SUVs, four-wheel-drive. Great for this climate, but maybe not the overall solution that we need. So they come in and complement us.”

He also talked about the Fiat 500, which could come to the U.S. as a niche market vehicle. It’s very unlikely the 500 would be rebadged as a Chrysler.

“The Fiat 500 has taken Europe by storm. They can’t make it fast enough. It is such a fun package. I think Americans, given the chance, will fall in love with this thing,” he said.

Gilles himself, a well-known enthusiast, professed a personal passion for Italian design. He said that his favorite car he’s ever owned was a 1969 Alfa Romeo GTV 1750 (pictured is a similar stepnose 1300 GTA Junior).

“I used to have this car. I sold this car and I still miss it to this day. What a passionate product. Still a pretty timeless car.”

[AlfaVeloce]

Quote:

Originally Posted by dretceterini You mean one of the hideous Chrysler Maserati TCs? Must be so rare by now it's worth all of $1000!

[dretceterini]

Quote:

Originally Posted by MarkZ News from LeftLane Chrysler, Fiat designers meet to discuss future portfolio With the Chrysler-Fiat alliance looking like a sure-fire thing, designers from the two automakers have agreed to get together late this week to discuss what a Chrysler lineup infused with Fiat engineering and DNA would look like for the North American market, as well as what Fiat would need to do to bring Fiat and Alfa Romeo cars over the Atlantic and into American and Canadian showrooms again. At the Automotive News World Congress in Detroit last night, Chrysler design vice president Ralph Gilles addressed the task at hand for Chrysler and Fiat. “This week and the months following we will meet with the design studios at Fiat and figure out” what vehicles from the Fiat stable will be adapted to the U.S. market, he said. Chrysler will draw heavily on Fiat’s strength in small car segments in Europe. Platforms used by Alfa Romeo, Maserati, Lancia and Ferrari - all of which fall under the Fiat Group’s umbrella - likely won’t see Chrysler badges in the future. “There may be situations where we can bring their vehicles in as is and there will be great opportunities to do products based on the Fiat DNA,” he said. Gilles also pointed out the deficiencies in Chrysler’s U.S. lineup for the future. “When you look at our portfolio,” he said, it is “somewhat truck heavy, very practical vehicles, SUVs, four-wheel-drive. Great for this climate, but maybe not the overall solution that we need. So they come in and complement us.” He also talked about the Fiat 500, which could come to the U.S. as a niche market vehicle. It’s very unlikely the 500 would be rebadged as a Chrysler. “The Fiat 500 has taken Europe by storm. They can’t make it fast enough. It is such a fun package. I think Americans, given the chance, will fall in love with this thing,” he said. Gilles himself, a well-known enthusiast, professed a personal passion for Italian design. He said that his favorite car he’s ever owned was a 1969 Alfa Romeo GTV 1750 (pictured is a similar stepnose 1300 GTA Junior). “I used to have this car. I sold this car and I still miss it to this day. What a passionate product. Still a pretty timeless car.”

[90Quad]

By Laurence Frost and Marco Bertacche

Jan. 23 (Bloomberg) -- Fiat SpA Chief Executive Officer Sergio Marchionne, architect of a planned tie-up with Chrysler LLC, may still regard a European alliance as his top priority.

Marchionne, credited with transforming Fiat from the laggard of the European auto industry into one of the continent’s most fashionable brands, said yesterday he’s “willing to start a dialogue” with any company that favors consolidation.

“A partnership with a European rival is vital,” said Emanuele Vizzini, who helps manage about $1.2 billion at Investitori SGR in Milan and lists PSA Peugeot Citroen of France and Germany’s BMW as two “natural candidates” for a merger with the Turin, Italy-based company.

European car sales plunged the most in 15 years in 2008, causing automakers to lay off workers and idle plants to clear stocks. Fiat yesterday cut its earnings forecast and said it won’t pay a dividend. Marchionne last month suggested the crisis could leave three European volume producers standing: Volkswagen AG, Renault SA and a third company built in a bout of consolidation.

The CEO acknowledged yesterday that many in the industry view a Fiat-Peugeot combination as a “marriage made in heaven.” He said he needs to proceed “softly and quietly” toward his goals.

Fiat’s alliance with Chrysler will see it transfer small-car technology to the Auburn Hills, Michigan-based automaker in return for a 35 percent stake and access to its U.S. plants, the companies said Jan. 20.

No Solution

With Fiat’s sales strongest in Europe and Latin America and Chrysler focused on producing larger autos and SUVs for North America, the deal entails little overlap in products or markets. In a recession, that may be no good thing, said David Arnold, an analyst at Credit Suisse in London.

“The Chrysler deal does nothing to solve the overcapacity problem,” said Arnold, who also favors a tie-up between Fiat and Peugeot. An all-European deal could “offset spiraling costs and declining volumes with savings from joint procurement, capital expenditure and research and development.”

Obvious overlaps between the activities of Fiat and Peugeot “would allow significant potential savings via joint purchasing from common suppliers,” Credit Suisse said in a note Jan. 12, when it predicted a tie-up between the two companies some time this year. Technology and components would also be spread across more models, reducing overall development costs, the bank said.

Marchionne, 56, is targeting the U.S. following his success in ending four years of losses at Fiat in 2005 with the introduction of new versions of the Punto and Panda and a revival of the 500 minicar, as well as partnerships with competitors to spread costs.

Not Last

Addressing analysts following an earnings announcement yesterday, Marchionne refused to comment directly on the prospects for Fiat getting together with specific companies.

“Chrysler is a first step in that direction -- it’s certainly not the last,” Marchionne said, adding that the U.S. company will have a “pretty good opportunity” to recover from the brink of bankruptcy with the help of Fiat’s technology and opportunities for joint savings.

Fiat, controlled by the Agnelli family, said 2009 profit will be “in excess of 300 million euros,” compared with an initial target of at least 2.9 billion euros. The company burned 30 million euros a day in the fourth quarter, causing net income to tumble 71 percent to 163 million euros.

“We’re telling our clients not to be distracted,” said Adam Jonas, an analyst at Morgan Stanley in London who rates the company “underweight.” “The stock’s not going to trade on how well re-badged Fiats are going to do in the U.S. in 2012.”

When Fiat supplies small cars in the U.S., they will be “re-badged” under one of Chrysler’s brands.

World No. 3

A combination of Fiat, Chrysler and Peugeot-Citroen would create the world’s third-biggest carmaker by volume after Toyota Motor Corp. and General Motors Corp. and would be tough to manage, said Sven Kreitmair, a credit analyst at UniCredit in Munich who cautions against a three-way deal. Obstacles would include the involvement of three different governments, he said.

Peugeot spokesman Pierre-Olivier Salmon declined to comment on the likelihood of a deal with Fiat. Bayerische Motoren Werke of Germany, the largest maker of luxury cars, aims to continue talks about cooperation between its Mini unit and Fiat’s Alfa Romeo brand, spokesman Marc Hassinger said Jan. 21. The company couldn’t be reached for further comment yesterday.

The French state, which has pledged as much as 6 billion euros to help Peugeot and Renault survive the recession, has already sounded a cautious note about any tie-up with Fiat.

“I’m not convinced consolidation is the answer,” Industry Minister Luc Chatel said in a Bloomberg Television interview Jan. 13. “What we need to do is improve competitiveness so that we can keep automobile production in France.”

Bloomberg.com: Worldwide

[AlfaVeloce]

Quote:

Originally Posted by 90Quad By Laurence Frost and Marco Bertacche Jan. 23 (Bloomberg) -- ... When Fiat supplies small cars in the U.S., they will be “re-badged” under one of Chrysler’s brands... Bloomberg.com: Worldwide

[peglegtom]

Quote:

Originally Posted by italcarguy So it looks like the Alfa 10C (Dodge Viper) is a possibility. Fiat was smart. They saw that bail out money in Chrysler's bank account and acted quick.

[WopJob]

My opinion: Chrysler + FIAT = BAD IDEA. the 500 is a success in Europe because the Europeans grew up with the original and loved it. No such thing has happened in the US, unless you count us immigrants. The 500 will flop here since it is ODD to the American market. At best it will be viewed like a girl car - like the new Beetle and Mini.
FIAT, fresh from having taken the 2Billion from Chevrolet (remember a few years ago) is eying US bailout money like a vulture sees road kill.

[AlfaVeloce]

Quote:

Originally Posted by WopJob ...(The 500) At best it will be viewed like a girl car - like the new Beetle and Mini...