Marchionne: Restructuring process at Chrysler is showing “positive results”
Fiat SpA and Chrysler Group LLC CEO Sergio Marchionne said that restructuring at the U.S. automaker is showing “positive results.” Marchionne has been working hard in order to turn around Chrysler after it came out of bankruptcy.
“In terms of the market share numbers coming out of the U.S., it’s a slow, gradual process, a re-making exercise. You need to give it time,” Marchionne said.
He said that he is now “more confident” than he was 12 months ago about Chrysler’s future prospects.
Chrysler’s U.S. sales fell 5 percent in the first quarter of 2010, while the industry deliveries were up 16 percent. However, Marchionne is opposed to incentives to increase sales at the expense of profits. He cut discounts for Chrysler, Dodge and Jeep brand vehicles by $1,122 in the first quarter – that’s more than quadruple the cuts made by GM and FoMoCo at $230 and $214 respectively, according to Autodata Corp.
– By: Stephen Calogera
Source: Automotive News (Subscription Required)