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GM seeks appeals court ruling to continue legal fight with Fiat Chrysler

DETROIT — General Motors on Friday asked a U.S. appeals court to allow it to continue pursuing its civil racketeering suit against rival Fiat Chrysler Automobiles, rejecting a lower court judge's belittling of the complaint. The automaker's filing with the Sixth Circuit Court of Appeals comes less than a week after U.S. District Court Judge Paul Borman called GM's suit against Fiat Chrysler a "waste of time and resources" at a time when both automakers should be focused on surviving the coronavirus pandemic. Borman ordered GM Chief Executive Mary Barra and Fiat Chrysler CEO Mike Manley to meet by July 1 to negotiate a resolution. "As we have said from the date this lawsuit was filed, it is meritless," FCA said on Friday. "FCA will continue to defend itself vigorously and pursue all available remedies in response to GM's groundless lawsuit. We stand ready to comply with Judge Borman's order," it added. In its motion, GM asked the appeals court to throw out Borman's order and reassign the case to a different district court judge. It called Borman's order "unprecedented" and "a profound abuse" of judicial power. GM sued Fiat Chrysler last year, accusing the Italian-American company's executives of bribing United Auto Workers union officials to secure labor agreements that put GM at a disadvantage. Fiat Chrysler is under investigation by the U.S. Justice Department as part of a wide-ranging probe of UAW corruption. GM's accusations came as Fiat Chrysler and French automaker Peugeot were in the early stages of preparing for a merger. Fiat Chrysler has said the suit was aimed at disrupting that deal. GM has said the suit has nothing to do with the merger. In a statement, GM rejected Borman's characterization of the suit as a "distraction" and defended its decision to press the case. "We filed a lawsuit against FCA for the same reason the U.S. Department of Justice continues to investigate the company: former FCA executives admitted they conspired to use bribes to gain labor benefits, concessions and advantages. Based on the direct harm to GM these actions caused, we believe FCA must be held accountable." Related Video: Government/Legal UAW/Unions Chrysler Fiat GM

Minivan market not what it used to be, but margins make up for it

Residual values for last year's minivans are higher than they were in 2000.
Much like the station wagon was the shuttle of Baby Boomer generation, the minivan has been the primary means of transport for Generations X and Y. Just as the boomers abandoned the Country Squire, though, those kids that were toted around in Grand Caravans and Windstars are adults, and they certainly don't want to be seen in the cars their parents drove.

Fiat Chrysler plans to speed up its product development

Fiat Chrysler is streamlining its global product development process in a bid to bring new or updated models to showrooms more quickly, reflecting heightened consumer expectations but also massive technological upheavals brought by things like electric vehicles, self-driving cars and ever more strident safety regulations. FCA recently announced plans to flatten its corporate product development structure across its global properties to reduce complexity, speed decision making and get products to the market faster than the years it can take today. It's similar to what Jim Hackett has been trying to do across town at Ford. FCA Chief Technology Officer Harald Wester, who is also executive chairman of Maserati, will oversee the reorganized product development unit. The company says it has already committed ˆ9 billion — nearly $10 billion at current exchange rates — toward its five-year plan to launch 30 new electrified nameplates globally, with plug-in hybrid versions of the Jeep Compass, Renegade and Wrangler due up first along with a full-electric Fiat car and commercial van. Maserati has also received a ˆ1.6 billion investment to bring about hybrid and battery-electric powertrains, plus Level 3 autonomous capabilities. “The industry has never experienced technological change at the pace we are now seeing,” CEO Mike Manley said in a statement. “So, weÂ’re unleashing the creative energy of our engineers and technical experts for the benefit of our customers and stakeholders worldwide.” One of the biggest changes is integrating powertrain and vehicle engineering, previously separate units, in a global process involving more collaboration and better deployment of resources. Engineering will also be supported by five centers of technical competence, including groups that will develop electronic architectures and another focused on advanced technologies. FCA says product development has previously been served by several different organizations that operated as regional sub-groups or standalone units. Left unmentioned is whether the merger with PSA Group, which will reportedly result in nearly 70 percent of all models produced by the two brands moving to just two PSA platforms, is helping to push the timeline on these changes. FCA is also making greater use of the Alfa Romeo Giorgio platform, planning it for the next-generation Jeep Grand Cherokee.