1957 Chrysler New Yorker on 2040-cars

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FCA spends $1.5 billion to retool plant for Ram production

Fiat Chrysler Automobiles (FCA) is planning to invest $1.48 billion to retool its Sterling Heights Assembly plant in metro Detroit to build the next generation of the Ram 1500. The investment will allow the assembly plant to go from unibody to body-on-frame construction. FCA also confirmed that production of the Chrysler 200 will end in December in order for the plant to be altered. As previously reported, FCA is looking to move production of the 1500 from its current assembly plant in Warren to the Sterling Heights Assembly plant (both are in Michigan). While FCA has not released any official plans for the Warren Truck Assembly Plant, Automotive News reports that the plant will be retooled to manufacture the Jeep Wagoneer and Grand Wagoneer SUVs. Earlier this month, FCA announced plans to invest $1.05 billion to retool the Jeep Wrangler factory. FCA's current investment plans are part of the automaker's push to put competitive products on the road. Related Video: News Source: FCA, Automotive NewsImage Credit: FCA Plants/Manufacturing Chrysler Jeep RAM SUV Sedan

EIB ups financing for Fiat Chrysler's electric vehicles to $949 million

MILAN — The European Investment Bank (EIB) has increased to almost 800 million euros ($949 million) its funding to Fiat Chrysler Automobiles (FCA) to support production of electric and hybrid vehicles, they said in a joint statement. Investments to manufacture battery electric vehicles and plug-in hybrid electric vehicles will be mainly directed at FCA plants located in southern Italy, supporting employment and compliance with the strictest environmental criteria. To improve capacity utilization at FCA's Italian plants, the group has announced a 5 billion euro investment plan for the country through 2021 which envisages the launch of new electric and hybrid models. EIB and FCA had sealed 300 million euros in financing before the summer to fund investments for plug-in hybrid electric vehicle production lines at plants in Melfi, in the southern Basilicata region, and battery electric vehicles at Fiat's historic Turin plant of Mirafiori over the 2019-2021 period. FCA has now finalized a 485 million euro deal with EIB to support both an innovative line of plug-in hybrid electric vehicles at the Pomigliano plant in the southern Campania region as well as R&D activities at FCA laboratories in Turin. The EIB credit line covers 75% of the total value of FCA's investment in the project for the 2020-2023 period. Earnings/Financials Green Plants/Manufacturing Chrysler Fiat

Chrysler files for IPO

Chrysler has had a lot of owners over the past few years alone, from Daimler to Cerberus to Fiat and the federal government. But it could be poised to gain some more before long. Like, a lot more.
The automaker has just announced that it has filed with the US Securities and Exchange Commission to issue an Initial Public Offering of common stocks. Chrysler hasn't revealed how many shares will be offered and at what price, however the shares in question will not come out of Fiat's approximate 60% majority shareholding but instead out of the 40% minority stock held by the UAW's VEBA retiree healthcare trust. Reports suggest that the IPO, which is being handled by JP Morgan, could encompass approximately 16% of Chrysler stock, initially valued at approximately $100 million.
Lest you think this is all part of Sergio Marchionne's grand plan to consolidate Chrysler and Fiat, the two auto groups over which he presides, think again. The filing, which still needs to be approved by the SEC, comes at the insistence of the UAW. Negotiations between Marchionne's management team and the union over Fiat's acquisition of the VEBA shares have stalled. If they manage to come to an agreement, however, the IPO would likely be taken off the table. So don't go calling your broker just yet, but you can analyze the official announcement below.