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FCA compromises with France, moving Renault merger bid forward

FRANKFURT/PARIS – Renault directors were preparing to review Fiat Chrysler's $35 billion merger offer on Tuesday, after the Italian-American carmaker resolved differences with the French government overnight, three sources said. The compromise on French government influence over a combined FCA-Renault may clear the way for Renault's board to approve a framework agreement beginning the long process of a full merger, unless new issues surface at the meeting. France, Renault's biggest shareholder with a 15% stake, had been pressing for its own guaranteed seat on the new board and an effective veto on CEO appointments. But after late-night talks with FCA Chairman John Elkann, the French government has accepted a compromise that would see it occupy one of four board seats allocated to Renault, balanced by four FCA appointees, the sources said. Renault would also cede one of its two seats on a four-member CEO nominations committee to the French state, they said. Renault, FCA and the French government all declined to comment on the discussions. The same evening that the compromise was was negotiated, activist hedge fund CIAM wrote to the board of Renault to say it "strongly opposed" a planned $35 billion merger with Fiat Chrysler. Calling the deal "opportunistic," the fund said the current deal terms strongly favored Fiat Chrysler and offered no control premium. (Reporting by Arno Schuetze and Laurence Frost; additional reporting by Giulio Piovaccari in Milan and Simon Jessop; editing by Jason Neely and Rachel Armstrong) Government/Legal Chrysler Fiat Mitsubishi Nissan Renault merger

Will the Chrysler 300 go front-wheel drive?

FCA chief executive Sergio Marchionne hinted last week that the strapping rear-wheel-drive Chrysler 300 sedan could go front-wheel drive for its next generation using the underpinnings from the Chrysler Pacifica minivan. Speaking at the Pacifica's production launch in Windsor, ON, Marchionne said, "this plant and this architecture is capable of making the 300 successor, the front-wheel, all-wheel-drive successor," Reuters reported. Perhaps realizing he appeared to be announcing a dramatic shift in product strategy, Marchionne backpedaled in response to a follow-up question, noting only that the Ontario factory is "capable" of making the sedan. "It's capable. It's not a commitment," he said, according to Reuters. The 300 is currently built in Brampton, ON, alongside the mechanically similar Dodge Charger and Challenger. The platform, known as LX in enthusiast circles, is an evolution of Mercedes-based chassis pieces that date to the DaimlerChrysler era. Marchionne's comments didn't cover the Dodges and left a lot open to interpretation. The 300 could switch to front- and all-wheel-drive and focus on a more civilized, elegant ride character, leaving the Charger and two-door Challenger as traditional rear-wheel-drive muscle cars. That strategy would further differentiate the Chrysler and Dodge car lines. Additionally, the Charger's RWD platform makes it a popular police vehicle, and both Dodges are offered in top trim as 707-horsepower Hellcats. Switching to front-wheel drive would seemingly complicate both of those endeavors. Rumors have also swirled that Alfa Romeo could contribute RWD underpinnings for Dodge. Related Video: Featured Gallery 2015 Chrysler 300 View 92 Photos Design/Style Chrysler Dodge Off-Road Vehicles Performance Sedan chrysler pacifica

Chrysler 300C John Varvatos Limited Edition returns for 2014 with AWD option

Before last year, many of us car guys had no idea who John Varvatos was. That all changed when the Detroit-native fashion designer lent his talents to the Chrysler 300 to create the snazzy, special-edition 300C John Varvatos models. The fashionable sedan returns for 2014 with two versions (Luxury and Limited), and the only big news here is that the latter model will be getting an optional all-wheel-drive system.
Distinguishing the Luxury and Limited models, the Luxury comes with Platinum exterior accents and is offered in a handful of colors while the Limited gets darker Titanium accents and only comes with a Phantom Black Tri-Coat paint job. Both cars get an exclusive interior design with special leathers, patterns and colors worthy of the designer's name and logo. The JV Edition is the only 300C to offer a V6 engine, but V8 lovers can still opt up for the powerful Hemi engine.
It would appear that the Luxury Edition is already on sale, but you'll have to wait until March for the 2014 JV Limited Edition, which, according to a Chrysler spokesperson, will be "limited from a production timing standpoint." The JV Luxury Edition starts at $41,195 and the Limited Edition will have a starting price of $44,480 (*not including $995 for destination) - both cars can be optioned with all-wheel drive for $2,500. Scroll down for the press release on the 300C John Varvatos Limited Edition.