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Weekly Recap: FCA hit with record fine as NHTSA crackdown continues

The National Highway Traffic Safety Administration slapped Fiat Chrysler Automobiles with a record fine this week that could reach $105 million. The punishment comes after NHTSA found problems with the automaker's execution of 23 recalls that affect more than 11 million vehicles. The consent agreement, announced Sunday, calls for FCA to pay a $70-million cash fine and requires the company to spend at least $20 million over a three-year period on industry outreach programs and to beef up old recall campaigns. Failure to comply will result in another $15-million fine. FCA also agreed to federal oversight, which includes an independent monitor to oversee the company's recalls. The $70-million cash fine equals a penalty NHTSA levied on Honda in January. "Fiat Chrysler's pattern of poor performance put millions of its customers and the driving public at risk," NHTSA administrator Mark Rosekind said in a statement. "This action will provide relief to owners of defective vehicles, will help improve recall performance throughout the auto industry, and gives Fiat Chrysler the opportunity to embrace a proactive safety culture." FCA called the deal a "consensual resolution," but admitted that it "failed to timely provide an effective remedy" during certain recalls. "We are intent on rebuilding our relationship with NHTSA and we embrace the role of public safety advocate," the company said in a statement. The announcement kicked off a busy week for the automaker. NHTSA agreed FCA did not need to recall 4.7 million vehicles after an investigation failed to find defects with a power module used in some Jeep, Dodge, and Ram vehicles. A Georgia judge also reduced a civil verdict involving a death in a Jeep Grand Cherokee crash. Amid all of that, the company reported net profit of about 333 million euros, or $364 million in the second quarter on Thursday. OTHER NEWS & NOTES FCA ramps up Hellcat production Despite a decidedly legal and financial week for FCA, there was still time for the performance side of the business to briefly grab the spotlight. The automaker is more than doubling its production of the Dodge Challenger and Charger SRT Hellcats in response to strong demand. The order bank opens the second week of August and production begins in September. FCA will finish up its scheduled 2015 model-year Hellcat builds, and cancel any "unscheduled" versions, though customers will get discounted pricing for 2016.

Former Ferrari boss takes over FIA Single-Seater Commission

After "stepping down" from his position as team principal at Scuderia Ferrari earlier this year, we knew that Stefano Domenicali would find ways to keep himself busy. We just didn't know with what, but now we have a bit of a clearer picture as the FIA named the longtime racing strategist the head of its Single-Seater Commission at its annual General Assembly, held this past week in Qatar. The FIA Single-Seater Commission, for those unfamiliar, is responsible for organizing and fostering the ladder of formula racing – right up to (but not including) Formula One. The presidency of the commission was previously held by Gerhard Berger, former F1 driver and Toro Rosso team principal, who was largely credited with the rebirth of the FIA Formula 3 European Championship and the founding of the FIA Formula 4 category. Before Berger the position was held by racing consultant Barry Bland, and serving alongside Domenicali as vice-president of the commission will be John Ryan of the UK's Motor Sports Association (MSA). In taking over the commission, Domenicali will be charged with further defining a clear progression for aspiring racers to graduate to increasingly more challenging forms of open-wheel racing. He recently served as well on the special Accident Panel that looked into the Jules Bianchi incident. In that regard he seems to be following a similar trajectory to his predecessor Jean Todt, who was elected president of the FIA shortly after leaving his long career at Ferrari. The FIA appointment, however, isn't the only thing Domenicali has been working on lately. He was also recently hired by Audi in an undisclosed capacity that is said to include evaluating prospects for the German automaker's potential future F1 program. FIA Annual General Assembly FRI 05.12.14 The FIA Annual General Assembly, held in Doha, Qatar, today (5 December 2014), marked the end of the annual meeting week attended by Sport and Mobility FIA Member Clubs from around the world and which culminates with the FIA Prize-Giving ceremony this evening. The FIA President, Jean Todt, along with Senate President Nick Craw and Deputy Presidents Brian Gibbons and Graham Stoker, welcomed the delegates to the meeting and, on behalf of the General Assembly, thanked hosts Nasser Khalifa Al Attiyah and the Qatar Motor and Motorcycle Federation (QMMF) for their warm hospitality and assistance.

Ferrari testing 458 Challenge Evoluzione at Mugello

Ferrari makes road cars, it makes racecars, and it makes road cars into racecars. The 458 Challenge falls into the latter category, transforming the 458 Italia into the basis for Maranello's one-make spec racing series. It replaced the F430 Challenge in 2011, which in turn followed the 360 Challenge, F355 Challenge and 348 Challenge that started it all in the mid-90s.
Now the Prancing Horse marque is set to move the game forward again with the revised 458 Challenge Evoluzione. Seen here undergoing testing at what could be any tree-lined circuit but is likely Mugello (which Ferrari just happens to own in addition to the Fiorano test track at the factory), the 458 Challenge Evoluzione takes a step further with a new aerodynamics package.
Other changes will likely be nominal, and Ferrari will probably offer existing customer racers the option of upgrading to stay at the front of the pack instead of replacing their $300k racers entirely. One way or another, Ferrari is set to unveil the 458 Challenge Evoluzione, also at Mugello, after the conclusion this year's Finali Mondiali, the event that ties up the end of Ferrari Challenge series from around the world next week.