Chrysler 2007 Annual Report Download - page 204

41. Subsequent events
The principal events that have occurred after the balance sheet date are as follows:
■The share buy-back programme continued in the first 11 days of January, following the decision to extend the Programme from
December 31, 2007 to April 30, 2008. At February 15, 2008, the total number of ordinary shares purchased from the beginning of
the programme amounted to 31.54 million, for a total invested amount of 603.4 million euros. The Group intends to continue its
share buy-back programme throughout 2008 and the Board of Directors intends to submit to the next Annual Stockholders Meeting
the renewal of the related authority.
■On January 11 Magneti Marelli and Sumi Motherson Group signed an agreement for the creation of a joint venture in India aimed
at the production of automotive components in the area of lighting and engine control systems. The joint venture’s products will
target the Indian market and local and international carmakers operating in the territory.
■On January 20, 2008 an agreement was reached between Federmeccanica (the national labour organisation representing the
metallurgical and mechanical industries with which Group Companies are affiliated) and the Fim-Cisl, Fiom-Cgil, Uilm-Uil and
Fismic labour unions for the renewal of the National Collective Labour Agreement for Metalworkers (white and blue collar) of
metallurgical and mechanical industries for approximately 77,000 Fiat Group employees in Italy. The agreement will be valid for 30
months (until December 31, 2009) for the wage related provisions and until December 31, 2011 for the regulatory provisions. Wage
increases were agreed to for a total of 127 euros gross per month (these amounts refer to a worker classified in category 5)
granted in three instalments: 60 euros from January 1, 2008, another 37 euros from January 1, 2009 and a further 30 euros from
September 1, 2009. Furthermore, a one-off payment of 300 euros gross will be made in March 2008 to cover the period between
July and December 2007. The changes envisaged in the regulatory provisions include certain measures regarding working time
aimed at improving flexibility (an 8-hour increase in the amount of overtime that companies may implement without having to
obtain prior consent from worker representatives); the standardisation of regulatory provisions for blue and white collar workers
that will come into effect on January 1, 2009; revision and reinforcement of the information and consultation system, particularly in
regard to safety at work; the definition of employment stabilisation paths for fixed-term and supply contract workers.
■On January 28 FPT Powertrain Technologies, the Region of Piedmont, the Province of Biella and the Municipality of Verrone
(Biella) signed a Protocol of Understanding aimed at boosting and developing the Verrone plant, where a new transmission named
C635 will be produced for mid-sized cars. It will be offered in three versions: manual, Dual Dry Clutch (DDCT, robotised
transmission with dual dry clutch) and robotised. It is estimated that Fiat Powertrain Technologies will invest approximately 500
million euros between fixed assets and research and development costs, which will permit achieving a production capacity of
800,000 transmission in 2012. Once it is in full operation, it could employ 1,100 workers, or about 600 more than current levels.
February 15, 2008
On behalf of the Board of Directors
/s/ LUCA CORDERO DI MONTEZEMOLO
Luca Cordero di Montezemolo
Chairman
Fiat Group Consolidated Financial Statements at December 31, 2007 - Notes 203