Fitch Lowers Fiat Credit Rating on Chrysler Risk
Milan, Italy - The Fitch ratings agency has downgraded the credit rating of Italian automaker Fiat SpA because of risks linked to its combination with U.S. automaker Chrysler Group LLC.
Fitch said Tuesday that Fiat's own operations may be disrupted by financial difficulties at Chrysler at a time when Fiat is under pressure at its standalone business, reported The Detroit News.
Fitch says the downgrade to BB from BB+ reflects Fiat's "intrinsic weakness" in that it relies heavily on the Italian and Brazilian markets and only has a small presence in the growing markets in China, India and Russia.
In September, Moody's downgraded Fiat's ratings as well for similar reasons.
Fiat holds a 53.5 percent share in Chrysler, and expects to raise its stake to 58.3 percent by the end of the year.
More Industry
Autos More Appealing
Consumers gave new cars better scores again this year for design, performance and more as mass-market brands kept gaining on premium lineups, JD Power found in an annual poll.
Read More →
Used EVs Defy Overall Market
While the used-car market saw three months of price declines or stagnation, the used EV segment did the opposite – rising for three straight months.
Read More →
Gone to the Dogs
A Stellantis brand decided to have some fun with one of its SUVs’ design to address growing emphasis on family pets.
Read More →
OEM Poll Sees Industry Evolution
Kerrigan Advisors’ survey of automakers finds that tariffs, technology, network tightening and other factors are poised to reshape auto retail.
Read More →
Luxe N.C. Dealerships Change Hands
A collection of Italian and English brand franchises were handed off to the owner’s friend in the business and include the Carolinas’ only Ferrari retail stores.
Read More →
Exposure Drives Interest in Chinese Cars
At a recent demonstration, consumers had the chance to ride in a Chinese-branded vehicle, a firsthand experience that improved their perceptions and purchase intent.
Read More →
Automotive Consumers Sink Further in Debt
Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.
Read More →
Agent Advocate
Rob Mancuso, who comes from a long line of auto dealers, values general agents’ place in the industry and makes a case for them taking an even bigger seat at the table.
Read More →
Driving Under Distraction
Though consumers gave higher marks to new vehicles in JD Power’s most recent initial-quality poll, high-tech interference worsened, pointing to craving for simplicity.
Read More →
Affordable New Cars a Thing of the Past
More than one out of five new vehicles sell for more than $60,000, according to Edmunds. That's up 7% compared to prepandemic 2019.
Read More →