Chrysler 2014 Annual Report Download - page 177

2014 | ANNUAL REPORT 175
For the years ended December 31,
2013 2012 2014 2013 2012
FCA US Ferrari S.p.A.
(€ million)
Net revenues 54,370 51,202 2,762 2,335 2,225
EBIT 3,160 3,217 389 364 336
Profit before income tax 2,185 2,149 393 366 335
Net profit 2,392 1,944 273 246 233
Other comprehensive income/(loss) 2,500 (1,893) (79) 29 46
Total comprehensive income/(loss) 4,892 (51) 194 275 279
Dividends paid to non-controlling interests — — 15 — —
Cash generated in operating activities 5,204 5,889 753 561 621
Cash used in investing activities (3,557) (4,214) (606) (314) (334)
Cash used in financing activities (262) (113) (133) (223) (276)
Total change in cash and cash equivalents 873 1,383 20 15 7
Cash and cash equivalents at December 31, 9,676 8,803 136 116 101
Other commitments and important contractual rights relating to the Non-controlling interests
FCA is subject to a put contract with Renault relating to its original non-controlling investment of 33.5 percent in
Teksid, now 15.2 percent. In particular, Renault has the right to exercise a sale option to FCA on its interest in Teksid,
in the following cases:
in the event of non-fulfillment in the application of the protocol of the agreement and admission to receivership or
any other redressement procedure;
in the event Renault’s investment in Teksid falls below 15.0 percent or Teksid decides to diversify its activities
outside the foundry sector; or
should FCA be the object of the acquisition of control by another car manufacturer.
The exercise price of the option is established as follows:
for the first 6.5 percent of the share capital of Teksid, the initial investment price as increased by a specified
interest rate; and
for the remaining amount of share capital of Teksid, the share of the accounting net equity at the exercise date.
Planned separation of Ferrari
On October 29, 2014, the Board of Directors of FCA, in connection with FCA’s implementation of a capital plan
appropriate to support the Group’s long-term success, announced its intention to separate Ferrari from FCA. The
separation is expected to be effected through an initial public offering (“IPO”) of a portion of FCA’s interest in Ferrari
and a spin-off of FCA’s remaining Ferrari shares to FCA shareholders. The Board authorized FCA’s management to
take the steps necessary to complete these transactions during 2015.
As a result, the Group did not classify Ferrari as an asset held for sale at December 31, 2014. The criteria within IFRS
5 - Non-current Assets Held for Sale and Discontinued Operations were not met as the timing, structure, organization,
terms and financing aspects of the transaction had not yet been finalized and are subject to final approval by the
Board of Directors of FCA.