Chrysler 2011 Annual Report Download - page 11

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These accomplishments reflect what Fiat-Chrysler is today.
A well-balanced and unified global group equipped to effectively manage the unpredictable and volatility in the market.
A group that is solid enough to be able to protect and support any individual part of the system that may be vulnerable in
a particular moment.
A group that possesses an open and competitive mentality, with the ability and determination to be a leader in its sector.
A group built on a culture of action, where the coming together of distinct industrial traditions has generated a new vitality
that is propelling the business forward.
During 2011, we dedicated significant energy and resources toward accelerating the integration process.
A new organizational structure was created with leaders from both organizations to reflect the cultural and geographic
diversity of our businesses.
We made significant progress in converging architectures and components, integrating purchasing activities, sharing best
practice in manufacturing processes, and optimizing utilization of our combined production capacity.
Much has also been accomplished at the cultural level to merge our strengths and leverage the differences.
We have become a single group with many faces and cultures, endowed with talent and energy as never before.
This integration process is not yet complete, but we are moving forward with determination and with respect for the
many identities that make us who we are and represent our true strength. Those many identities allow us to leverage the
excellence of one for the benefit of all, to mutually complement each other and to create something new and better.
For what has already been achieved and for the challenges to be faced in the coming years, I want to thank everyone who
– every day and in every part of the world – is dedicating their energy and passion into making this project a reality.
We know that 2012 will not be an easy year in some areas.
In particular, the sovereign debt situation and the austerity plans which are being implemented as a response continue to
weigh on eurozone markets and to fuel uncertainty concerning economic prospects in Europe in the near term.
Given Fiat’s desire to maintain a high level of liquidity and the fact that Chrysler is subject to certain restrictions on payment
of dividends to its members, the Board of Directors has decided to recommend dividend of €39.7 million limited on
preference and savings shares only.
As announced in October, the Board of Directors also intends to propose the conversion of all preference and savings
shares into Fiat ordinary shares. If approved, preference and savings shares will, in any event, retain their economic rights
in relation to 2011 and new ordinary shares resulting from the conversion will be eligible for dividends declared from 2012.
The objective of this transaction is to simplify the Company’s capital and governance structure, as well as benefiting
shareholders and satisfying market expectations by eliminating share classes which trade at a discount to the ordinary
shares and with very limited turnover.
Fiat-Chrysler remains fully committed to the strategic direction laid out in the 5-year plans presented by Chrysler in
November 2009 and by Fiat in April 2010.
Following a review of economic and trading conditions in Fiat-Chrysler’s four operating regions, we confirm expectations
for performance in North America, Latin America and Asia-Pacific.
In Europe, weakened trading conditions have cast doubt on volume assumptions for the overall market and, consequently,
on the Group’s own development plans up to 2014.
“A well-
balanced
and unified
global group
equipped
to effectively
manage the
unpredictable
and volatility in
the market”