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2018 Alfa Romeo Stelvio Drivers' Notes | Italy's last savior

Alfa Romeo may be beloved by enthusiasts, but the brand has always had a rough go in the United States. Sure, we may look back fondly now at cars like the Spider, Milano and Giulia, but those models never had the impact of their German or British rivals. Slow sales and a reputation for poor reliability killed Alfa in the U.S. more than two decades ago. The automaker is back with cars like the 4C, Giulia and, most important, the 2018 Stelvio crossover. The Stelvio needs to sell well if Alfa has any hope of staying alive in America. Sure, it may not be as sharp or as handsome as the Giulia, but the market demands crossovers, so that's what it'll get. The Stelvio is jumping into a tough and highly contested segment. Rivals like the Porsche Macan, Jaguar F-Pace, BMW X3 and Mercedes-Benz GLC-Class are all strong competitors with handsome styling and sporty driving dynamics. The Stelvio is going to have to really shine to make a dent. Associate Editor Joel Stocksdale: The Alfa Romeo Stelvio feels very much like a bigger, taller Giulia. While this does mean that it feels a bit less nimble and frisky, it also means that it's one of the best drivers in its class. Under the hood is the same turbocharged 2.0-liter four-cylinder making 280 horsepower. It feels just right for this crossover. It's happy to sit at low rpm on the highway, but also delivers brisk acceleration when tromping on the gas. It even sounds good, providing a growly snorty sound when accelerating. It's sort of like a grown-up version of the engine in the Fiat 500 Abarth. Ride and handling are well-balanced, too. Steering is very quick, and the whole vehicle feels remarkably light. It leans significantly more than the Giulia in turns. But as crossovers go, the Stelvio is a great handler. The ride is on the stiff side, but far from punishing. I do wish the steering was a little heavier, and that the weight built up more progressively. It feels a little less communicative than I'd prefer. The Giulia connection continues inside, but this time we wish they weren't so similar. Though the dashboard is an attractive shape, there are quite a few low-rent plastics strewn about. A number of the knobs feel chintzy, too. There's not a lot of knee room up front, either, and the seat could use a few more adjustment options. One thing the Stelvio's interior nails, though, are those wonderful shift paddles.

Fiat Chrysler's profit boosted by Ram and Jeep in North America

MILAN/DETROIT — Fiat Chrysler took the market by surprise by sticking to its full-year profit guidance on Wednesday after a strong performance from its Ram pickup truck in North America helped it defy an industry slowdown. Chief Executive Mike Manley, in FCA's first earnings release since a failed attempt to merge with France's Renault, also left the door open to that or other deals. "We are open to opportunity," Manley said on a call with analysts. "I have no doubt why there still would be interest in it," he added, when pressed on what it would take to revive talks with Renault. Manley declined to comment further. FCA last month abandoned its $35 billion merger offer for Renault, blaming French politics for scuttling what would have been a landmark deal to create the world's third-biggest automaker. Manley said a merger was not a must-have and Fiat Chrysler's business plan was strong. The company said it remained confident its adjusted earnings before interest and tax (EBIT) would top last year's 6.7 billion euros ($7.5 billion). Given disappointing forecasts from other automakers this earnings season, FCA's confirmation of the outlook sent Milan-listed shares in the Italian-American automaker, whose other brands include Jeep, up over 4%. A broad-based auto sales downturn has rattled the sector, forcing FCA's competitors — including Renault, Daimler and Aston Martin — to cut their sales forecasts after second-quarter results, while U.S. carmaker Ford gave a weaker-than-expected 2019 profit outlook. Japan's Nissan, a long-term partner of Renault, said it would cut 12,500 jobs by 2023 after its earnings collapsed. In the second quarter FCA's adjusted EBIT totaled 1.52 billion euros, versus analysts' expectations of 1.43 billion euros, according to a Reuters poll. FCA's U.S. shipments were down 12% in the second quarter but the group said that the successful performance of its Ram brand resulted in an enhanced share of the large pickup truck market of 27.9%, up 7 percentage points from last year. Adjusted EBIT margin in North America rose to 8.9% from 6.5% in the first quarter, thanks to strong demand for the heavy-duty Ram and the new Jeep Gladiator pickup. Chief Financial Officer Richard Palmer also said FCA expected to report up to 10% margins in the region in both the third and fourth quarters.

The new Alfa Romeo Giulia needs to be a BMW beater

The introduction of the Alfa Romeo Giulia as a BMW challenger is a claim that historically has meant that it will not be as good as a BMW. Mercedes, Audi, Lexus, Infiniti, Cadillac, and a few others have tried to loosen BMW's grip on the sports sedan market with little success. It was BMW that was doing the copying when in the early sixties they looked to Alfa Romeo's sport sedans for inspiration. Alfa Romeo's pre-war racing pedigree was second to none, and series production Alfas were sporting twin cam engines, and fuel injection years before BMW. What the post-war Alfa cars did not offer was reliability and an North American dealer network that knew how to service or sell their products. Consequently in 1995 Alfa abandoned the US market. Now it is the Alfa Giulia taking aim at the BMW 3-series. The Fiat/Chrysler group has a lot of resources (think Ferrari), and the engineering chops to beat BMW at its own game, but it will take a long time to build a reliable dealer network, not to mention the quality issues that have dogged them for decades. Alfa will follow what has become a familiar recipe to challenge the 3-series. With 3 sets of trim available, the most affordable model, the Giulia, and further upscale, Giulia ti, both with a turbocharged 4-banger and 276 HP compares favorably with the BMW 328i and the Audi A4. The 505 HP Giulia flagship is shooting for the M4/3. Good luck with that, Alfa. A delayed introduction hints of troubles to come. Unfortunately for Alfa both the Audi A4 and BMW 3-series have millions of dedicated fans, most of whom do not have to be reminded about their automobile's pedigree. Millennial have never had the chance to aspire for an Alfa, and the older generations that still remember them are only a very small share of the market. Alfa has to avoid joining the automotive graveyard of models that have tried to attain BMW's status. Just to be cruel I will mention the Cadillac Cimarron. If you are too young to remember, it was the cheapest Chevy front wheel drive platform with a Cadillac badge. Panned by both GM management and the automotive press, it was a spectacular flop. I hope that the executives of the Fiat/Chrysler group remember it well. We do not need a Fiat in a stylish suit.