2014 Chrysler 300 Base on 2040-cars

Auto blog

Ferrari borrows $2.6 billion to finance FCA spinoff

Ferrari announced Monday that it is borrowing about $2.6 billion to finance its spinoff from Fiat Chrysler Automobiles. Here's how it breaks down: Ferrari NV, the automaker's parent company based in the Netherlands, is taking out loans totaling 2.5 billion euros. That's equivalent to $2.64 billion at current exchange rates, and is divided between a term loan of $2.12 billion and a revolving credit facility of $529 million. The larger term loan "will be used to refinance indebtedness owing to Fiat Chrysler Automobiles," among other purposes. That ought to constitute the lion's share of the $2.38 billion which the Prancing Horse marque was, according to reports last year, slated to pay its current parent company in order to help FCA fund its ambitious growth plans. The separate line of credit is earmarked "to be used from time to time for general corporate and working capital purposes of the Ferrari group." Though Ferrari is not expected to take any other Fiat Chrysler properties with it, the "group" in this case would include its various financial services and distribution arms around the world that may have been separately incorporated. As noted in the statement below, the financial arrangement "represents a further step towards the separation of Ferrari from the FCA Group," following the separate stock issues from both companies as independent from each other. FERRARI N.V. SIGNS ˆ2.5 BILLION SYNDICATED CREDIT FACILITY Ferrari N.V. (NYSE: RACE) ("Ferrari") announced today that it has entered into a ˆ2.5 billion syndicated loan facility with a group of ten bookrunner banks. The facility comprises a bridge loan (the "Bridge Loan") and a term loan (the "Term Loan") of ˆ2 billion in aggregate and a revolving credit facility of ˆ500 million (the "RCF"). Proceeds of the Bridge Loan and Term Loan will be used to refinance indebtedness owing to Fiat Chrysler AutomobilesN.V. (NYSE: FCAU) ("FCA") and other indebtedness and for other general corporate purposes. Proceeds of the RCF may be used from time to time for general corporate and working capital purposes of the Ferrari group. The Bridge Loan has a 12 month maturity with an option for Ferrari to extend once for a six-month period. Ferrari intends to refinance the Bridge Loan prior to its maturity with longer term debt, including through capital markets or other financing transactions. The Term Loan, which comprises a majority of the total facility, and the RCF each have a maturity of five years.

Junkyard Gem: 1965 Plymouth Belvedere Race Car

I've found the occasional retired race car during my junkyard travels, but most of them have been fairly modern machines. Today's Junkyard Gem is a different sort of racing remnant: an ancient dirt-track beast that probably last saw service more than 40 years ago, found in a Denver-area yard last summer. It's really just a gutted shell that sat outdoors for decades after its final competition, but you can still catch glimpses of its past here and there among the rust spots and peeling paint. The rear quarters clearly identify it as a 1965 Plymouth B-Body two-door sedan. The 1965 B-Body Plymouths were sold as three models: the upscale Satellite, the mid-level Belvedere II, and the El Cheapo Belvedere I. The shadow of a Belvedere badge on the fender found inside the car indicates that at least the fender came from a Belvedere I (the way race cars — especially those that compete on dirt — whack into each other, we can assume this is the 19th fender affiliated with this car). Belvedere fenders were easy to find in junkyards until about 40 years ago, and the faded sponsor stickers indicate that this car last raced around that time. You can still buy new "Turbo Action" valve bodies for Chrysler automatic transmissions, by the way. Likewise, CRC 5-56 lubricant still exists. The "OZONE SAFE" label on the can suggests that this sticker is of late-1970s-to-early-1980s origin. The roll cage is old-school for sure, particularly the lack of door bars. The Denver area once had many race tracks, including Overland Park and Englewood Speedway (both very close to this Plymouth's final parking space), but they had closed long before the 1980s. Lakeside Speedway was in business  until 1988 (and still stands today, sort of) but that dirt oval hosted mostly midget races during its final 30 years of operation. Perhaps Colorado Springs International Speedway, which closed in 1985, was this car's final race venue. There's one sponsor that suggests an origin far from the Mountain Time Zone. I can't make out the company name (other than what might be a snippet including "oluce"), but it appears to be an institutional food business in Houma, Lousiana. It's possible this car was bought in Louisiana and brought to Front Range Colorado, where it rusted away in a yard or field. There's not much left, but it's one of the many types of automotive history I like to document in this series.

Share price falls on skepticism of Chrysler-Fiat five-year plan

Following this week's Fiat Chrysler extravaganza, where the Italian-American manufacturer announced its plans for the next five years, the Autoblog staff was cautiously optimistic of the company's future. Investors? Not so much.
Fiat saw its shares tumble 12 percent in Wednesday's trading, falling from 8.67 euros ($12.06 at today's rates) to 7.44 euros ($10.35) as of this writing, with blame partly going to the Italian half of the FCA marriage, which recorded a pretty significant drop in profits during the first quarter of this year.
The plan, which will cost around $77 billion over the next several years, is facing criticism from investors thanks in part to a 1.4-percent drop in Fiat's first-quarter profits, to 622 million euros ($862 million). That figure is also short of Bloomberg analysts' projections, which predicted $1.18 billion in profits before taxes, interest and one-time items.