Chrysler CEO Sergio Marchionne has a thorny job in the upcoming road show to sell Chrysler stock. Talk it up ... but not too up.
The problem is that Marchionne is also CEO of Fiat, which wants to buy the16.6 percent stake in Chrysler owned by the UAW's retiree health fund.
Analyst Max Warburton of Bernstein Research noted last week that as CEO of Chrysler, Marchionne's job is to make the stock seem as valuable as possible. But every extra dollar that Chrysler's value goes up is more cash that Fiat (and Fiat CEO Marchionne) would have to spend for the shares.
But there's a possible out. The yet-to-be scheduled road show could get canceled if Fiat and the union's retiree health fund agree beforehand on a price for the union's shares. But if not, said Warburton: "The road show promises to be bizarre."