Car buyers looking forward to welcoming Alfa Romeo back to the United States at the beginning of the new year will have to wait a bit longer according to Sergio Marchionne, 61, CEO of Fiat and Chrysler. Despite his original promise to have the Alpha 4C ready for sale by January 2014, the compact sports car will not be available until (at least) the second quarter.
Marchionne has spent the past four years trying to unite Chrysler and Fiat into a “global player” on the same level as Toyota Motor Corp., GM and Volkswagen AG, ever since Fiat took control of the Detroit automaker following its federally assisted bankruptcy in 2009.
Fiat took control of Chrysler after the company's 2009 government-assisted bankruptcy. However the Italian company (which owns 58.5% of Chrysler), is balking at paying the $5 billion being demanded by the UAW’s retiree health care trust for their 41.5% in order for it to take full control.
As a result, Chrysler filed for an initial public offering to sell the UAW shares yesterday. If it goes through, the estimated offering estimated to be worth up to $100 million, will be underwritten by JP Morgan.
In the meantime, Fiat has expressed its anger over the move and both companies have stated that they are now planning to re-evaluate their future relationship.