2014 Fiat 500l Trekking on 2040-cars

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Stellantis is official: FCA and PSA merger finally sealed

MILAN — Fiat Chrysler and PSA sealed their long-awaited merger on Saturday to create Stellantis, the world's fourth-largest auto group with deep enough pockets to fund the shift to electric driving and take on bigger rivals Toyota and Volkswagen. It took over a year for the Italian-American and French automakers to finalize the $52 billion deal, during which the global economy was upended by the COVID-19 pandemic. They first announced plans to merge in October 2019, to create a group with annual sales of around 8.1 million vehicles. "The merger between Peugeot S.A. and Fiat Chrysler Automobiles N.V. that will lead the path to the creation of Stellantis N.V. became effective today," the two automakers said in a statement. Shares in Stellantis, which will be headed by current PSA Chief Executive Carlos Tavares, will start trading in Milan and Paris on Monday, and in New York on Tuesday. Now analysts and investors are turning their focus to how Tavares plans to address the huge challenges facing the group – from excess production capacity to a woeful performance in China. Tavares will hold his first press conference as Stellantis CEO on Tuesday, after ringing NYSE's bell with Chairman John Elkann. FCA and PSA have said Stellantis can cut annual costs by over 5 billion euros ($6.1 billion) without plant closures, and investors will be keen for more details on how it will do this. Marco Santino, a partner at consultants Oliver Wyman, said he expected Tavares to disclose the outlines of his action plan soon, but without divulging too many details at first. "He has proven to be the kind of person who prefers action to words, so I don't think he will make loud statements or try to over-sell targets," he said. Like all global automakers, Stellantis needs to invest billions in the years ahead to transform its vehicle range for the electric era. But other pressing tasks loom, including reviving the group's lagging fortunes in China, rationalizing its huge global empire and addressing massive overcapacity. "It will be a step by step process, also to allow the market to better appreciate every single move. I don't think we will have all the details before one year," Santino said.

2019 Fiat 500 Abarth Final Drive | Farewell to the Hellmouse

The market for tiny hot hatchbacks hatchbacks was always small in the United States, but it's getting even smaller. The Ford Fiesta ST has joined the dearly departed and soon to join it is the Fiat 500 Abarth, which Fiat has announced will go away along with its less caffeinated 500 siblings. Before it does, though, we got one more romp in the little monster and learned that, even with its age and rough edges, it’s still one of the most fun and charismatic machines you can get for the money. You're reminded of it the second you twist the switchblade key. The little turbo 1.4-liter four-cylinder has a gnarly burble at idle that wouldnÂ’t seem out of place in a muscle car. It only gets better when you start cruising around. The burble becomes a raging howl, and shifting right at redline results in a whiplike crack. ItÂ’s intoxicating. The 500 Abarth is boisterous, but itÂ’s not exactly fast. At 160 horsepower and 183 pound-feet of torque, most of its competition, such as the Veloster Turbo and Civic Si, feature at least 200 horsepower. The turbo isnÂ’t especially fast to spool up, and the engine isnÂ’t quick to rev either. But itÂ’s peppy enough, and the slowly building boost comes on very smoothly. As such, itÂ’s easy to manipulate what power the Abarth has. And the exhaustÂ’s placebo effect is omnipresent. But make sure the car is in Sport mode. If it isnÂ’t, the amount of boost is restricted, making the Abarth feel more like the normal 135-horsepower 500, and no amount of noise will distract you from that. The tiny turbo engine can be paired with either a five-speed manual or six-speed automatic transmission. The manual is a pretty average unit. The shifter is well-placed, but the throws are long and ropey. The pedal position is excellent, making rev-matched downshifts easy. Only having five gears to choose from seems strange in this day and age, but the long-ish ratios work nicely with the slow, low-revving engine. And you donÂ’t have to mess with the wriggly shifter too much. The automaticÂ’s six ratios feel like a good number, and each ratio is closely spaced, which helps keep the car in the power band. It shifts quite smoothly and fairly quickly, too, whether youÂ’re in automatic or manual mode. The automatic even makes smart downshifts when slowing for corners. ItÂ’s a good unit that doesnÂ’t detract from the experience. Curiously, the automatic model makes more torque at 183 pound-feet to the manualÂ’s 170.

FCA and Peugeot reportedly agree on merger

Citing a Wall Street Journal report, the Detroit Free Press says "Fiat Chrysler and PSA Groupe have agreed to merge." The Journal reported on talks between the two car companies only yesterday. It's said that Peugeot's board met yesterday to approve the deal, FCA's board met today, and an announcement could come as soon as tomorrow, Thursday. Both automakers have released statements, but neither company has released any information beyond admitting to ongoing talks. If the merger happens, the combined entity would become the world's fourth-largest carmaker with a $50 billion valuation, slotting in behind Toyota, the Volkswagen Group, and the Renault Nissan Mitsubishi alliance. Among the merger options possible, "an all-stock merger of equals" is the one analysts and Moody's seem to give the best grade. The reported merger would come about four months after FCA walked away from merger talks with Renault. FCA said the French government scuppered those talks over the role of Nissan in a reformed entity, but there were also brewing issues with French unions, and ongoing turmoil among Renault and Nissan leadership thanks to continuing fallout from ex-CEO Carlos Ghosn's arrest last year. FCA makes most of its revenue in the U.S. and rules Italy, while Peugeot is the second-best-selling automaker in Europe with its own brand in France and Opel in Germany. The two companies already have a partnership in Europe making vans, one that FCA CEO Mike Manley has spoken highly of. Among the list of obvious benefits in a potential merger, FCA would get access to Peugeot's small, modern platforms, $10.2 billion in cash, and electrified and hybrid architecture developments, the latter especially important to FCA as those are fields where it lags. Peugeot would get much easier access to the U.S. market, and the money-printing brands Jeep and Ram. A merged carmaker would have combined sales of nearly 9 million a year, based on 2018 results. By comparison, both Volkswagen and Toyota sell over 10 million cars a year, while the Renault-Nissan-Mitsubishi alliance almost 11 million. Peugeot CEO Carlos Tavares has proved he knows how to do turnarounds and mergers. After leaving a position as Carlos Ghosn's right-hand man in 2012, Tavares took over Peugeot in 2014, navigated a bailout from the French government and China's Dongfeng Motors in 2015, and turned PSA into a regional powerhouse.