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How Fiat explains its disastrous J.D. Power quality scores

Back in the '60s and '70s, Fiat didn't exactly have an enviable reputation for quality. Of course, lack of quality and a tarnished brand reputation eventually saw the Italian automaker flee the market, only to return with the 500 and the larger 500L in the last few years. However, if J.D. Power's Initial Quality Survey for 2014 is to be believed, modern Fiat products haven't improved quite as much as we might have hoped. Fiat thinks that there is a very simple explanation for its poor performance on the annual list, though.
J.D. Power's IQS looks at flaws among autos in the first 90 days that customers own their new vehicles. In 2014, Fiat wasn't only dead last, it was at the back of the pack by a significant margin. The company's cars tallied 206 problems per 100 vehicles (PP100) compared to a national average of 116 PP100. Even Jeep, the survey's second-to-last finisher, had 146 PP100. Fiat's performance was pitiful.
However, it can all be explained, at least according to US Fiat boss, Jason Stoicevich, who spoke with Ward's Auto. He qualifies the results by stating that the survey came at a particularly bad time for the brand. It produced very few 2014 500 models to allow extra time to introduce the updated 2015 version. That meant that about 91 percent of its vehicles surveyed were examples of the 500L, "which is a new car where there are always quirks to work through," said Stoicevich to Ward's. With only one model providing data, it skewed the results. Of course, that's all well and good, but it suggests that the larger 500L is even more problematic than the overall brand's 206 problems per 100 vehicles.

FCA scion John Elkann tries to pull off a Marchionne-sized merger

MILAN, Italy — When John Elkann lost his ally last year with the sudden death of Sergio Marchionne, some questioned whether the softly-spoken scion of the Agnelli clan would be able to emerge from his shadow to ensure Fiat Chrysler's future. But New York-born Elkann, who became Fiat chairman in 2010, acted decisively to fill the vacuum left by the larger-than-life Marchionne and get closer to the big merger deal the legendary executive was unable to deliver. At just 28, Elkann was thrust into the role of Fiat vice chairman after the deaths of his grandfather and great-uncle "because there was really nobody else" to take the wheel. For Elkann, who got his first taste of the car industry as an intern at a factory producing headlights in Birmingham, England, the first 18 months with responsibility for the family-owned carmaker and its long heritage were "terrible." But from that low point, Elkann, 43, is now trying to merge Fiat Chrysler (FCA) with French rival Renault to form the world's third largest carmaker and tackle new challenges facing the industry. Elkann will become chairman of the merged FCA-Renault if the deal goes ahead, ensuring the Agnelli dynasty plays a central role in the next chapter of automotive history. At an event in Milan on Monday, the usually-shy Elkann looked happy and confident. His first big break came with an instrumental role in persuading Marchionne, who was running one of the businesses owned by the Agnelli family, to become chief executive in 2004 and give Fiat "a new start," Elkann said in a "Masters of Scale" podcast last year. Fiat was at the time almost on the brink of collapse. This involved a "very long night ... and many grappas" but proved to be a turning point in the fortunes of the Italian company founded by Elkann's great-great-grandfather Giovanni Agnelli, which built its first car in 1899. In 2005, Elkann backed Marchionne in negotiating the breakup of an alliance Fiat had entered into with General Motors in 2000, receiving $2 billion from GM in return for canceling a deal that could have required GM to buy the remainder of Fiat Auto. Marchionne then used GM's money to fund a turnaround at Fiat, which involved taking the Italian carmaker into a transformation alliance and then full-blown merger with U.S. automaker Chrysler as Elkann agreed to the Agnellis loosening their grip.

Fiat 500X Pop gets Sport Appearance Package

At last November's L.A. Auto Show, Fiat debuted a new trim for the 500X compact crossover, the 500X Sport. Attempting to add a "youthful, sporty appearance" to the 500X lineup, the Sport model included the new Rovente Red color, shed the dark molding and cladding on other trims, and adopted new exterior elements like fog lights and dual chrome-finished tailpipes. The model hasn't made it to the Fiat USA site yet, but Mopar Insiders says there is more sportiness on the way for the 500X. The base Pop trim will get a Sport Appearance Package to inject some exterior pizzazz at for thousands less than the price of the Sport model. The package add the front and rear fascias from the Sport model, front fog lights, body-colored wheel arch moldings and side sills, 18-inch aluminum sport wheels, dark gray accents throughout, and "dual bright exhaust tips." As far as we can tell, the Pop with the Sport Appearance Package differs outside from the proper Sport trim by retaining the halogen projector headlights, fitting darker fog light housings, and being limited to 18-inch wheels. The standard Pop only comes with 17-inch wheels, the standard Sport trim with an 18-inch wheel but it offers an optional 19-inch wheel wrapped in Michelin rubber. Also, major options on the Pop don't change, meaning it won't offer the choice of a black roof as on the Sport trim. The Sport trim makes a host of changes to the inside, too, which the Sport Appearance Package doesn't. Buyers can order the jaunty overhaul for the Pop in four colors: Bianco White, Grigio Moda, Italia Blue, and Rovente Red. The Sport Appearance Package will cost $795, meaning one could get out for $27,030 after destination but before taxes and fees. The Sport trim was announced with an MSRP of $29,390, making it the second-most-expensive 500X in the range, above the $27,740 Trekking, below the $30,990 Trekking Plus. The Sport Appearance Package has not appeared on the Fiat USA configurator yet, but it shouldn't be far off.  Update: A previous version of this story incorrectly stated the Sport trim was not on the Fiat USA configurator. Only the Sport Appearance Package hasn't appeared yet. The mistake has been corrected. Related Video: