Weekly Recap: Despite merger, Fiat and Chrysler will maintain local roots as stock of

Filed under: Chrysler, Infiniti, Mazda, Toyota, Earnings/Financials, Fiat
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Chrysler will still be largely run out of its headquarters in Auburn Hills, MI, and Fiat will be based in Turin, Italy.

Americans and Italians worried that two of their nation's industrial icons - Chrysler and Fiat - are merging into a British/Dutch corporation with a blurred identity can rest a bit easier, even as an initial public stock offering looms as early as October. Chrysler will still be run mostly out of its headquarters in Auburn Hills, MI, and Fiat will be based in Turin, Italy.

"Operationally, day-to-day operations will sit where they sit today," Fiat Chrysler Automobiles CEO Sergio Marchionne said during an earnings announcement earlier this summer.

The company will be incorporated in the Netherlands for tax purposes, and the board will meet in London, where unspecified parts of the firm's "decision-making process" will take place.

"Operationally, London will hold nothing, other than the decision-making process of FCA, meetings of the group executive council and some of the senior leaders will be residing there," Marchionne said. Specifically, Richard Palmer, FCA's chief financial officer and a native of Bath, England, will move to London.

Still, Marchionne stressed the company's move to London is more than symbolic, even if some functions are still unclear.

"It's a pretty permanent rooting of the organization in London in order to make sure that the machine runs," he said.Continue reading Weekly Recap: Despite merger, Fiat and Chrysler will maintain local roots as stock offering looms
Weekly Recap: Despite merger, Fiat and Chrysler will maintain local roots as stock offering looms originally appeared on Autoblog on Sat, 06 Sep 2014 11:00:00 EST. Please see our terms for use of feeds.
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