2024 Alfa Romeo Stelvio Ti on 2040-cars

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Stellantis ready to kill brands and fix U.S. problems, CEO Tavares says

  MILAN — Stellantis is taking steps to fix weak margins and high inventory at its U.S. operations and will not hesitate to axe underperforming brands in its sprawling portfolio, its chief executive Carlos Tavares said on Thursday. The warning for lossmaking brands is a turnaround for Tavares, who has maintained since Stellantis was created in 2021 from the merger of Italian-American automaker Fiat Chrysler and France's PSA that all of its 14 brands including Maserati, Fiat, Peugeot and Jeep have a future. "If they don't make money, we'll shut them down," Carlos Tavares told reporters after the world's No. 4 automaker delivered worse-than-expected first-half results, sending its shares down as much as 10%. "We cannot afford to have brands that do not make money." The automaker now also considers China's Leapmotor as its 15th brand, after it agreed to a broad cooperation with the group. Stellantis does not release figures for individual brands, except for Maserati which reported an 82 million euro adjusted operating loss in the first half. Some analysts say Maserati could possibly be a target for a sale by Stellantis, while other brands such as Lancia or DS might be at risk of being scrapped given their marginal contribution to the group's overall sales. Stellantis' Milan-listed shares were down as much as 12.5% on Thursday, hitting their lowest since August 2023. That brings the loss for the year so far to 22%, making them the worst performer among the major European automakers. Few automotive brands have been killed off since General Motors ditched the unprofitable Saturn and Pontiac during a U.S. government-led bankruptcy in the global financial crisis in 2008. Tavares is under pressure to revive flagging margins and sales and cut inventory in the United States as Stellantis bets on the launch of 20 new models this year which it hopes will boost profitability. Recent poor results from global carmakers have heightened worries about a weakening outlook for sales across major markets such as the U.S., whilst they also juggle an expensive transition to electric vehicles and growing competition from cheaper Chinese rivals. Japan's Nissan Motor saw first-quarter profit almost completely wiped out on Thursday and slashed its annual outlook, as deep discounting in the United States shredded its margins. Tavares said he would be working through the summer with his U.S. team on how to improve performance and cut inventory.

Alfa Romeo unveils Formula One car for new season

MONTMELO, Spain — Alfa Romeo has unveiled the new Formula One car that will be piloted by former champion Kimi Raikkonen this season. Raikkonen, teammate Antonio Giovinazzi and team principle Frederic Vasseur posed with the white-and-burgundy Alfa Romeo C38 in the pit lane of the Barcelona-Catalunya Circuit before preseason testing started on Monday. Alfa Romeo is the rebranded name for the Sauber team this season. Raikkonen joined Alfa Romeo from Ferrari, where he won the Italian team's most recent drivers' title in 2007. The 39-year-old Finn is joined by Giovinazzi, a 25-year-old Italian with two Grand Prix races under his belt. Sauber finished eighth in the constructors' standings last year. More AP auto racing

High school design students sketch out FCA's 'ultimate status vehicle'

Each year since 2013, Fiat Chrysler Automobiles (FCA) hosts a design contest for high school students called Drive for Design intended to educate and encourage automotive career hopefuls. For 2019, FCA prompted 10th, 11th, and 12th graders to imagine the "ultimate status vehicle." The top three choices include two Alfa Romeos and a Maserati. FCA named first, second, and third places in the contest. Maximillian Cooper (lead image) from Design and Architecture Senior High in Miami won first place. Mason Ross (first inline image) from Kennedy Catholic High School in Burien, Wash., took second. Vincent Piaskowski (Maserati image) from Ernest W. Seaholm High School in Birmingham, Mich., placed third. The three winners of the contest will be awarded with numerous valuable prizes. They will get behind-the-scenes tours at the FCA U.S. Product Design studios, as well as mentoring time with some of FCA's designers. They will also get scholarships to attend the Precollege Summer Experience Transportation Design program at the College for Creative Studies. Lastly, they'll have the honor of serving as junior judges at the EyesOn Design Car Show. Although each sketch has a unique look, all three take the same approach: cab-forward, bubble-top supercar coupes with dramatic lines and curves. Piaskowski's shows direct inspiration from a shark, but we wouldn't be surprised if all three students have special places in their hearts for the Pininfarina Maserati Birdcage Concept.