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Fiat restructures management after Chrysler deal

As Fiat is now a majority stakeholder in Chrysler, it has restructured its management board.

29 July 2011

Merger and acquisition consultants could be required in the future as Fiat and Chrysler have announced a new management structure.

The Italian company has announced a series of organisational changes that will come into effect in September, including the formation of a Group Executive Council.

"It is responsible for reviewing the operating performance of the businesses, setting performance targets [and] making key strategic decisions and investments for the group," Fiat observed.

The organisation has a majority stake in Chrysler and it has been suggested the move could be part of an attempt to launch a full merger.

According to the car manufacturer, the reason behind the change is to enhance "the operational integration" of the two parties.

Fiat recently released its second quarter results for 2011, which found the company's revenues were €13.2 billion (£11.5 billion) and recorded trading profit of €525 million.

Luxury and performance brands, as well as components and production systems, saw double-digit growth.

Posted by Ron Maverick
 

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