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Chrysler/Fiat CEO expects $3b 2012 profit
Detroit Free Press – Chrysler and Fiat CEO Sergio Marchionne said Chrysler expects to earn a 2012 operating profit of $3 billion, he said Wednesday at an event marking the production launch of the new Fiat Panda in Pomigliano, Italy.
Marchionne also said Fiat Group, which owns 53.5% of Chrysler, expects to post a 2012 trading profit of between 1.6 billion euros and 2 billion euros ($2.1 billion to $2.6 billion).
Fiat said Tuesday it had reached an agreement with all but one of its unions on a new labor contract covering its factories in Italy that includes work rules that the automaker expects will lead to improved productivity and reduced absenteeism. The contract will come into effect on Jan. 1, 2012.
Metalworkers union FIOM, Italy’s biggest, walked out of the negotiations last week and did not therefore sign the agreement, which increases the number of shifts at Fiat plants and cuts the length of breaks workers may take.
Marchionne has said all five Fiat assembly plants in Italy are losing money. Italian trade unions have expressed concern that Fiat could move its operations away from Italy.
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Chrysler/Fiat CEO expects $3b 2012 profit
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