Fiat SpA and Chrysler Group LLC will soon have a single management structure according to the CEO of both companies, Sergio Marchionne. The Bloomberg financial news agency reports that Marchionne told to journalists in Zurich that he intends to implement his unified management team “pretty quickly”, though he declined to specify a date.
This is just another step in Marchionne’s grand plan to further integrate the two carmakers and achieve a revenue of more than $140 billion (€100 billion) by 2014. The firm’s CEO noted that even though a merger of Fiat and Chrysler is in the making, it’s unlikely that it will happen in 2011.
Fiat initially acquired a 20% stake in Chrysler by the U.S. government but aims to hold 57 percent by the end of 2011, having already agreed with the government to pay $500 million for its remaining 6%, and expecting to receive another 5% as payment for developing a fuel-efficient car for the US carmaker.
The United Auto Workers union's trust will have 41.5 percent of Chrysler at that time, and Marchionne said that he doesn’t intend to buy their share too.
