Marchionne to stay at Chrysler-Fiat 'at least' another 3 years, Elkann says
Fiat Chairman John Elkann with CEO Sergio Marchionne in a 2012 Detroit auto show photo.
Photo credit: Bloomberg
DETROIT -- Sergio Marchionne will remain CEO of the merged Chrysler-Fiat for at least another three years, Fiat S.p.A. Chairman John Elkann said today.
"In early May Fiat-Chrysler will unveil a new three-year business plan and we have agreed that Sergio will drive the company at least for the entire duration of this plan," Elkann said.
He added that the commitment means Marchionne could stay longer if he elected to do so.
Marchionne said that after Fiat buys the remaining stake of Chrysler -- which he hopes is completed this week -- a merger of the two companies is no longer needed.
"At that point, Chrysler will be a fully owned subsidiary of Fiat S.p.A. and we then need to modify the corporate name accordingly to reflect Chrysler's long heritage," Marchionne said.
He added that the Fiat board will meet on Jan. 29 in Europe to approve the new name and other details of the integration of Chrysler within Fiat.
Elkann said: "I will remain chairman of the renamed company and Sergio will remain CEO. Do not expect any surprise on these issues. "
A placement of shares of the renamed company on Wall Street to finance the three-year plan of investments could not technically happen sooner than the second half of 2014, Marchionne said.
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