Vintage 1973 Dodge Power Wagon 4x4 on 2040-cars

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Fiat Chrysler profit up as it closes in on retiring its debt

MILAN — Fiat Chrysler Automobiles reduced its debt by more than expected in the first quarter, putting the carmaker well on course to become cash positive later this year. Chief Executive Sergio Marchionne expects to cancel all debt during 2018 — possibly by the end of June — and generate around 4 billion euros ($5 billion) in net cash by the end of the year. Marchionne has said that forecast does not include any one-off measures, nor the impact of the planned spinoff of parts maker Magneti Marelli, which he hopes to execute by early 2019. The world's seventh-largest carmaker said on Thursday net debt had fallen to 1.3 billion euros ($1.6 billion) by the end of March, well below a consensus forecast of 2.6 billion euros in a Thomson Reuters poll of analysts. FCA said capital spending fell 900 million euros in the quarter due to "program timing," which analysts said implied higher investments for the rest of the year. The Italian-American group said first-quarter operating profit rose 5 percent to 1.61 billion euros, below a consensus forecast of 1.74 billion, as a weaker performance from its North American profit center weighed. Shipments there were higher due to the new Jeep Wrangler and Compass models. But currency moves hit revenues and earnings, and costs related to new product launches added to the pressure. FCA's shift to sell more trucks and SUVs boosted margins yet again in North America to 7.4 percent from 7.3 percent in the same quarter a year ago, although they were down from the 8 percent recorded in the preceding three months. Marchionne, preparing to hand over to an internal successor next year, is close to his goal of ending a margin gap with larger U.S. rivals General Motors and Ford. The 65-year-old has said becoming debt free and being able to compete on a par with U.S. peers would mean FCA no longer needed a partner to survive and could well succeed on its own. The CEO has previously said tying up with another carmaker would help to meet the huge costs in an industry investing in electric vehicles and automated driving. FCA shares fell immediately after the results, but recovered to trade up 3 percent at 19.71 euros by 1150 GMT, outperforming a 0.4 percent rise in Europe's blue-chip stock index. ($1 = 0.8214 euros) Reporting by Agnieszka FlakRelated Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Fiat Chrysler Automobiles recalls nearly 750k vehicles in two campaigns

Fiat Chrysler Automobiles is recalling a total of 747,817 vehicles in the US in two separate campaigns recently added to the National Highway Traffic Safety Administration database.
The first one covers about 434,581 units of the Chrysler 300, Dodge Charger, Challenger, Durango, and Jeep Grand Cherokee from the 2011-2014 model years with electric hydraulic power steering, the 3.6-liter V6 engine and a 160 amp alternator, according to FCA. In the affected vehicles, it's possible for the alternator to fail without warning and possibly cause the car to stall. According to the documentation submitted to NHTSA, the automaker began investigating the problem in August 2014 and has found possible evidence of one crash caused by the failures but no known injuries.
Customers will begin receiving notification about the recall next month, and obviously the repairs will be done at no cost to them.

All-wheel-drive Dodge Challenger GT confirmed by EPA website

The US Environmental Protection Agency accidentally confirmed the upcoming Dodge Challenger GT by posting fuel economy figures for the all-wheel-drive variant of the muscle car. According to FuelEconomy.gov, the Challenger GT, which will come with the 3.6-liter V6 when it's released, is rated to get 18 miles per gallon in the city and 27 miles per gallon on the highway, giving the vehicle a combined rating of 21 miles per gallon. Those figures are slightly lower than the rear-wheel-drive Challenger with the same engine, which gets 19 miles per gallon in the city and 30 miles per gallon on the highway. While previous reports indicated that Dodge is planning to release the all-wheel-drive Challenger GT sometime in 2017, the automaker hasn't confirmed the vehicle. (Mopar's all-wheel-drive concept from last year's SEMA Show is pictured above.) With the EPA putting out the car's official fuel economy figures, the all-wheel-drive muscle car is definitely coming, and should be here before the entire Challenger lineup gets its expected redesign in 2018. And yes, we're still hopeful that the so-called Challenger ADR we saw in spy photos means we'll see all wheel drive and Hellcat power. Because Hellcat everything. Related Video: