Marriage of Fiat and Chrysler looks likely

Since Chrysler was placed on a bed of his death in 2009, Fiat Chairman Sergio Marchionne swept in and offered the United States Government transaction to save the dying patient and countless number of jobs. That improper transaction is carefully Fiat, acquisition of a 20 percent stake in Chrysler without expending of one American dollar and Italian lira.

At any other time, such an arrangement would have been zasmâ, but Chrysler is prepared as a separate entity, with little opportunity for salvation coming from another source. Marchionne has promised to remake automaker, government loans and the promise of a controlling stake in Chrysler, if the company survives.

Improved Chrysler

Fast forward to 2011 and financial picture of Chrysler has improved tremendously with the automaker pulling in profits and more cars for sale. For the 2011 model year Chrysler offers customers 16 new or significantly improved models, is one of the most ambitious line re-equipment of products from the manufacturer.

Marchionne is satisfied of the Chrysler progression, but has no plans to stop there. By the end of 2011 it expected Chrysler to refinance their Federal loans and initial public offering or IPO. In the annual NADA Convention in San Francisco in early February 2011, Marchionne offers the official marriage between Fiat and Chrsyler is likely, resulting in a unified automaker, possibly based in the United States.

Chrysler IPO

Much must be done before the two companies merged, including ensuring the profitability of the Chrysler remains tracking and market share increases. Prosperous Chrysler appeal to investors with the perhaps billions of dollars of cash, inspired in the company after the IPO. Chrysler because of the Government of the United States, 5.7 billion dollars in interest rate well above what healthy Chrysler can provide private. Confirming the ongoing health is critical to the company, something Marchionne is intended for making manifestly goes next.

In 2010 Chrysler sees the United States market share increases 8.8 percent to 9.2 percent, to sell vehicles of 1,6 million worldwide. This number is still well below 2,5 million vehicles sold during the past years, but the company projects 2011 sales will reach 2 million units.

The combined entity

What will be called the combined automaker will survive and what brands are matters of interest and speculation. Left American Motors seems appropriate. In serious and specific facts Chrysler brand is weak and may be scuttled, as can the Lancia or Fiat Alfa Romeo of the House.

Whether or not the official merger, both companies are working together and at a level not seen since Carlos Ghosn took over the management of Nissan in 1999, maintains its role as the Executive Director for Renault too. Marchionne has said: "it is not Carlos Ghosn," to run a unified company instead of two separate operations.

Matthew c. Keegan was a free writer, who resides in North Carolina. Matt is a contributing writer for the Andy's auto sport supplier how quality parts, including Toyota parts and body sets.