Chrysler 2003 Annual Report Download - page 44

43 Report on Operations Transactions among Group Companies and with Related Parties
❚In April 2003, CNH Global carried out a capital increase
of $2 billion by issuing 8,000,000 Convertible Series A
Preference Shares at the price of $250 per share, which
were fully subscribed by Fiat Group companies through
the conversion into capital of financial payables owed to
them by CNH Global N.V. The shares for the aforesaid
capital increase, which are vested with ordinary voting rights,
benefit from specific dividend rights and are convertible
into 100,000,000 common shares.
If all the shares are converted, the equity investment of
Fiat S.p.A. in CNH Global N.V., through the subsidiary Fiat
Netherlands Holding N.V., will increase from 85.1% to 91.7%.
❚In April 2003, Fiat Auto Holdings B.V. approved a capital
increase of up to 5 billion euros. An initial quota of 3 billion
euros was subscribed by Fiat Partecipazioni S.p.A., while
stockholders may subscribe to the remaining 2 billion euros
by October 31, 2004. In consequence of this capital increase,
the share owned by Fiat Partecipazioni S.p.A. in Fiat Auto
Holdings B.V. rose to 90%.
The following actions were taken in 2003 as part of the
corporate and legal streamlining programs:
❚in the Commercial Vehicles Sector, the lead company for
all the companies belonging to the sector is Iveco S.p.A.
after the equity investments previously owned by Iveco N.V.
were transferred to it;
❚in the Production Systems Sector, the lead company for
all the companies belonging to the sector is Comau S.p.A.
after certain of the equity investments previously owned by
Comau B.V. were transferred to it;
❚Fiat Netherlands Holding N.V., Iveco N.V., and Comau B.V.
were merged at the same time as the previously described
transactions were carried out.