Fiat increases Chrysler stake
Fiat has shown its commitment again to the Chrysler brand with the announcement that it's increasing its stake by another five per cent.
This change still leaves the United Auto Workers as the largest shareholder at 63.5 per cent, with Fiat's stake now totalling 25 per cent, the rest bring made up of the US Treasury Department (9.2 per cent) and the Canadian government (2.3 per cent).
The increased stake has already received government approval and meets performance parameters, on this occasion it's the production of Fully Integrated Robotised Engines (FIRE) at its plant in Dundee, Michigan.
The first North American car with the 1.4-litre FIRE engine with MultiAir Technology will be in the new Fiat 500, which Chrysler Group will begin to sell soon through newly appointed dealers.
Fiat could increase its stake to 35 per cent in 5 per cent increments through two additional performance-related milestones. First it must demonstrate growth in overseas markets and then produce a 40 mpg vehicle for the US market.