Fiat has advised that the third performance event contemplated by the Chrysler Group Operating Agreement, (“Ecological Event”), has been achieved, leading to a further 5% increase of Fiat’s interest in Chrysler. The increase is effective immediately. Fiat’s interest in Chrysler is 58.5%. The remaining 41.5% of Chrysler’s equity is owned by VEBA.
To achieve this Ecological Event Chrysler was required to receive regulatory approval for an automobile based on a Fiat platform or vehicle technology having a fuel efficiency rating of at least 40 combined miles per gallon and to irrevocably commit to begin assembly in commercial quantities in the U.S.
In late December Chrysler achieved the Fuel Economy Test for an unadjusted combined rating of 40 miles per gallon with a pre-production version of the Dodge Dart, based upon Fiat architecture technology. Last week Chrysler issued an irrevocable commitment to the U.S. Department of the Treasury to begin assembly of such vehicle in a production facility located in the United States.
“The acquisition of a further 5% of Chrysler is a fundamental step in completion of the integration between our two groups, ” Fiat S.p.A. and Chrysler Group CEO, Sergio Marchionne, said.
“We have worked hard on achievement of the Ecological Event over the past two and a half years and we are particularly proud of this accomplishment because it represents repayment of the trust placed in Fiat to introduce its fuel-efficient cars and engines to the US market. The commitment to ecological and sustainable mobility, which has made Fiat the most eco-performing automaker in Europe, is integral to our business strategy. Together with the know-how developed by Chrysler, we have formed a strong, competitive auto group with a technological capability among the most innovative in the world,” Marchionne said.