Fiat aims to close 2014 with a trading profit of 3,6-4 billion euros, a net profit of 0,6-0,8 billion and net debt of between 0,8 and 1,3 billion. Sergio Marchionne announced it today, speaking at the shareholders' meeting underway in Turin. The group's managing director then specified that one of Lingotto's objectives is to increase “total deliveries worldwide to 4,5-4,6 million cars. In general, we all have production capacities to reach six million cars. I don't know if we will reach seven million, but with the initiatives that we will announce in May, the limit of six million will be accessible”.
On the Italian front, "I confirm that there are no occupational surpluses", continued the manager, underlining that the next investments in Mirafiori "will involve full occupation of the site".
In general terms, "the repositioning strategy that we have undertaken to expand our product offering by focusing on the highest and most profitable segments is starting to generate the first results", explained Marchionne, warning however that the European car market in 2014 “it will be at levels in line with the very modest levels of the previous year, with the car market growing slightly and the commercial vehicle market declining moderately”.
The CEO expects a growing US market, “albeit at a slower pace than previous years”, with Canadian demand stable “at last year's record levels. Stable market” in Latin America, with Brazil that will counterbalance Argentina “in steep decline due to restrictions on imports” and high sales taxes. In the Asia-Pacific sector, according to Marchionne, demand will be "driven by the Chinese and Indian markets", while a decline is expected in Japan.
“Our joint venture with the Chinese partner is going ahead successfully – added the CEO – but the 500, due to its size, is not suitable for that market, if not for a niche. We try to carry it forward, but it will have limited use”, considering that the 500 in China sold just 2013 units in 1.100.
In answering the shareholders' questions, Marchionne clarified that he did not expect that "residence for tax purposes in Great Britain would lead to significant tax arrangements". To those who asked him for his opinion on the wave of investments in Italy by the American fund BlackRock, the manager replied that Fiat "would be welcome" as a shareholder too: "We accept all shareholders, especially those who have the credibility and visibility of Blackrock".
Finally, from a general point of view, Marchionne guaranteed that, despite the merger, Fiat and Chrysler will maintain “their own identity and will make their strengths available to each other. I would be naive if I didn't know that there are also emotional aspects connected to these themes. And not only in Italy, but on both sides of the ocean. Both our groups have centuries of history behind them: Fiat will be 115 this year and Chrysler will be 90 the next. When two companies with such a wealth of history and traditions come together, there may be the feeling that something is lost, but in fact the union between Fiat and Chrysler has already existed for some time and is a solid reality, open to the world and projected towards the future . The truth is that the identity of a company does not lie in a company name. It lies in the people who work there, who bring it to life every day and leave their mark on it".
