Chrysler 2011 Annual Report Download - page 121

Report on
Operations
120
Operating
Performance
by Sector
Production Systems
Comau
Highlights
(€ million) 2011 2010
Net revenues 1,402 1,023
Trading profit/(loss) 10 (6)
Operating profit/(loss) (*) (120) (6)
Investments in tangible and intangible assets 20 24
of which capitalized R&D costs 24
Total R&D expenditure (**) 14 12
Employees at year end 14,457 12,216
(*) Includes restructuring costs and other unusual income/(expense)
(**) Includes capitalized R&D and R&D charged directly to the income statement
Operating Performance
During 2011, the sector’s core market continued its recovery from the global crisis that struck in the second
half of 2008.
For the time being, the current uncertainty in financial markets has not had any significant influence on investment
by automakers related to new models launches for 2012 and 2013.
In North America, since emerging from bankruptcy proceedings in 2009, both Chrysler and General Motors
have regained momentum with their capital investment programs and, together with Ford, they have begun a
modernization of plants and are proceeding with a full program of new model and new engine launches.
In Europe, although conditions vary from market to market, there has been an upward trend in investment in
France and the UK. Investment continued to grow in China, while new order activity in Latin America was weak.
New contract orders were up 33% for the year to €1,299 million.
Overall, 38% of new orders were generated in Europe and 26% in North America, with the remaining 32%
coming from Latin America and Asia. By customer, 22% of orders came from Fiat Group companies and 78%
from other manufacturers. At 31 December 2011, the order backlog totaled €838 million, a 33% increase over
the previous year.
The Services operation improved its position in Brazil and Argentina, with a 19% overall increase in activity levels.