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Auto blog
Chrysler-Fiat quality chief out after another poor Consumer Reports showing
Tue, 28 Oct 2014Fiat Chrysler has announced a management change following the company's woeful performance in the latest Consumer Reports Annual Auto Reliability Survey. Of the 28 brands surveyed, FCA's marques occupied the five the seven lowest scores, while Dodge, Ram, Jeep and Fiat were the four lowest scorers.
Doug Betts, FCA's 51-year-old head of quality "left the company to pursue other interests," which, considering the aforementioned paragraph, means he was sacked. According to Automotive News, Betts joined Chrysler in 2007, defecting from Nissan, and, insiders report, had a somewhat tumultuous relationship with new boss Sergio Marchionne.
His replacement is the newly promoted Matthew Lidane (shown at inset), who was formerly VP of systems and components. Lidane has been at Chrysler since 1987 and was previously chief engineer of the Jeep product team as well as the vehicle line boss for the compact US wide platform which (ironically) underpins two of FCA's lowest scoring vehicles, the Dodge Dart and Jeep Cherokee.
Question of the Day: Most heinous act of badge engineering?
Wed, Dec 30 2015Badge engineering, in which one company slaps its emblems on another company's product and sells it, has a long history in the automotive industry. When Sears wanted to sell cars, a deal was made with Kaiser-Frazer and the Sears Allstate was born. Iranians wanted new cars in the 1960s, and the Rootes Group was happy to offer Hillman Hunters for sale as Iran Khodro Paykans. Sometimes, though, certain badge-engineered vehicles made sense only in the 26th hour of negotiations between companies. The Suzuki Equator, say, which was a puzzling rebadge job of the Nissan Frontier. How did that happen? My personal favorite what-the-heck-were-they-thinking example of badge engineering is the 1971-1973 Plymouth Cricket. Chrysler Europe, through its ownership of the Rootes Group, was able to ship over Hillman Avanger subcompacts for sale in the US market. This would have made sense... if Chrysler hadn't already been selling rebadged Mitsubishi Colt Galants (as Dodge Colts) and Simca 1100s as (Simca 1204s) in its American showrooms. Few bought the Cricket, despite its cheery ad campaign. So, what's the badge-engineered car you find most confounding? Chrysler Dodge Automakers Mitsubishi Nissan Suzuki Automotive History question of the day badge engineering question
FCA may sell off Magneti Marelli
Mon, Jul 20 2015FCA is reportedly just days away from filing the official prospectus for the Ferrari initial public offering, and it could put the Italian sportscar maker's value at $11 billion. Although, Sergio Marchionne always seems to have another iron in the fire, and his next big deal could shed the automotive giant's Magneti Marelli parts business to the tune of $3.3 billion. According to Reuters citing anonymous insider sources, at least two private equity firms are considering joint submitting bids with firms already in the industry. This deal has reportedly been in the works for at least the last few weeks. According to Reuters, FCA already rejected a roughly $2.7-billion offer in June. Marchionne apparently wants at least the equivalent of $3.3 billion for the company. Publicly, FCA isn't talking, though. Company spokesperson Gualberto Ranieri told Reuters and reiterated to Autoblog simply that Magneti Marelli wasn't for sale. However, a move to get rid of the parts company has been discussed in the past. In 2013, the business was rumored to be part of a purported arrangement to sell Alfa Romeo to Audi. While there's no final decision yet, according to Reuters, if the Magneti Marelli sale does move forward the decision would likely come sometime after the Ferrari IPO. The company would likely be split up among the various divisions. "Everyone will take a fair share of it," one of the anonymous sources to Reuters. News Source: ReutersImage Credit: Jeff Kowalsky / Bloomberg via Getty Images Earnings/Financials Chrysler Fiat Sergio Marchionne FCA fca us magneti marelli