The Financial Situation (12 Viewers)

Paolo Sosa

Paolo Sosa

Senior Member
#229
Nov 11, 2005
2,377
#229
Report: Fiat & PSA/Peugeot-Citroen set to Merge
Would become world's 4th largest automaker
by Michael Gauthier
December 14, 2008 11:22 AM
Filed Under: Citroen, Corporate/Financial, European, Fiat, Peugeot
Reports out of Italy have suggested that Fiat and PSA/Peugeot-Citroen are looking into the possibility of merging as a way to survive the current financial crisis. The news comes just days after Fiat's CEO, Sergio Marchionne, stated that the company would need to find another automotive partner to ensure the company's survival in light of the recent economic downturn.

The issue seems to have reached a high enough level that leaders in both France and Italy have held discussions on the matter. According to analysts a merger between the two companies would make sense, considering that both have extensive experience making small cars and the two have worked together since 1978 on joint projects such as the recent Peugeot Boxer, Citroën Jumper and Fiat Ducato vans. If the two companies were to merge their combined output would rival Volkswagen and Renault-Nissan, making the proposed company the fourth largest automaker in the world.

Any potential merger would take months to complete, but if such as tie-up does occur hopefully we can expect the return of the Citroen SM.

----------------------------------------------------------------------------

since fiat seems to be in trouble as the whole automobile industry, i think these news may effect us on the long run. with such a merge what would happen to th sponser deal we have with fiat ?
 
Red

Red

-------
Moderator
#230
Nov 26, 2006
47,024
#230
The contract with FIAT will still stand.

The merge won't affect the sponsorship, though it is possible that it will affect the Club in the longe term.

Not that Juve has any great reliance on FIAT these days.
 

vimo

Senior Member
#232
Apr 1, 2006
1,042
#232
juve red said:
The contract with FIAT will still stand.

The merge won't affect the sponsorship, though it is possible that it will affect the Club in the longe term.

Not that Juve has any great reliance on FIAT these days.
Click to expand...
exactly. First of all, i doubt this deal between Peugeot and fiat is really going to happen, but even if so; there's no doubt that we won't be affected directly. We have a contract for sponsorship, and it's going to be respected. At this point, i think we shouldn't be worried about finding a new sponsor, in case New Holland don't renew. We're playing CL, beating the 'big ones' (real, milan, ...), so why should we have any trouble getting anyone?

Anyway, i highly doubt fiat will stop sponsoring us, with all these realtionships between fiat and juve (turin-based, etc).

What i'm curious about is how the economical crisis will affect teams like milan and inter, who are clearly dependent from people like berlusconi and moratti. In my opinion, i think juve are pretty much standing on their own feet (thanks to cobolli & co, we gotta say it) but is moratti going to keep paying the quaresmas and mourinhos in these circumstances?
 
Nenz

Nenz

Senior Member
#234
Apr 17, 2008
10,421
#234
vimo said:
What i'm curious about is how the economical crisis will affect teams like milan and inter, who are clearly dependent from people like berlusconi and moratti. In my opinion, i think juve are pretty much standing on their own feet (thanks to cobolli & co, we gotta say it) but is moratti going to keep paying the quaresmas and mourinhos in these circumstances?
Click to expand...
Their own personal piggy banks aren't exactly under siege due to the financial crisis. It depends on where the money is coming from. I don't know enough about what pies Berlusconi and Moratti have their hands in though.
Either way, if they can get through this crisis and still be multi-millionaires at the end of it, their teams will be virtually unaffected.
Its actually on the contrary. We're further at risk due to the financial crisis due to a fall in demand for motor vehicles. Our Fiat sponsorship may not be in jeopardy, nor will the club be in big trouble, but we may be slightly worse off.
 
C4ISR

C4ISR

Senior Member
#235
Dec 18, 2005
2,362
#235
Juventus are sustainable. We dont need FIAT to keep us afloat like Berlusconi and Moratti do with their clubs, as were insulated from FIAT's troubles based on the business model our "inept" management are using. Compared to the majority of clubs, Juventus are in a safe financial position to face this economic crisis. Unlike most teams in the prem, Valencia, etc, we dont have massive debts.
 
C4ISR

C4ISR

Senior Member
#236
Dec 18, 2005
2,362
#236
Fiat and Chrysler said Tuesday they have signed a "non-binding" agreement that will see the Italian company get an initial 35 per cent stake in the U.S. automaker.

The two automakers said Fiat would not put any cash into Chrysler, but that the Italian firm would provide access to its small-car platforms as well as its fuel-efficient engine technology.

The fact that Fiat is getting an "initial" stake in financially troubled Chrysler — which is 80.1 per cent owned by Cerberus Capital Management LLP, was taken to mean the Italian company could eventually boost its holding in Chrysler.

"A Chrysler-Fiat partnership is a great fit as it creates the potential for a powerful, new global competitor, offering Chrysler a number of strategic benefits, including access to products that complement our current portfolio (and) a distribution network outside North America," said Bob Nardelli, the chairman and CEO of Chrysler LLC.

The partnership would give Chrysler access to markets outside of North America, while Fiat, which makes cars under the Fiat, Lancia, and Alfa Romeo brands, is eyeing entry into the U.S.

Chrysler is getting about $4 billion US in U.S. government aid in the form of loans, although market analysts are still questioning whether the company can remain financially viable enough to remain independent.
Click to expand...
http://www.cbc.ca/world/story/2009/01/20/chryslerfiat.html
http://www.forbes.com/markets/2009/...ement-markets-equity-cx_po_0120markets10.html
http://uk.reuters.com/article/rbssConsumerGoodsAndRetailNews/idUKLJ14314020090121

Pretty good deal. Fiat pay no cash for a 35% stake in Chrysler, in return for some of it's car technology that will help Chrysler reduce cost. They get access to the biggest car market in the world, and if this deal proves to be fruitful, a year from now Fiat can increase it's stake in Chrysler to 55% for $25 million.
 
Art^

Art^

StrikerMania Champ 2004
#238
Jan 11, 2003
2,905
#238
Grande le zebre said:
I think we would be better off without Fiat, as they are not intrested in investing in the club. For instance, we could have signed Alonso for 16million, we offered 14million, we could'nt sign him as Elkann did not want to put in money, therefore we had to settle for the cheaper & lesser option in Poulsen. The IFIL do not even invest in our club, As soon as Gianni & Umberto agnelli died, the shareholders withdraw thier financial support, even Moggi stated this when he was general manager. Where was Elkann during the outbreak of "Farsopoli"? As long as Fiat own Juve, the likes of Secco will remain at the club, and will continue to waste the clubs money.
Click to expand...
That's utter bullshit.
Elkann nor FIAT had anything to do with that transfer AT ALL! We had the money for Xabi Alonso. If anyone is to blame, then its Ranieris stubbornness. If our valuation was correct at that time, then he would have been playing for us. But since Gareth Barry had a factor in that saga, then the transfer was way more complicated then you make it sound...

FIAT giving us extra funds, would not have affected facts like Aston Villa didn't want to sell Gareth Barry nor Liverpool lowering their price for Xabi.
 
You must log in or register to reply here.

Users Who Are Viewing This Thread (Users: 0, Guests: 10)