Fiat

From Wikipedia, the free encyclopedia Jump to: navigation, search This article is about the holding company of Fiat Group. For the subsidiary which produces Fiat branded cars, see Fiat Automobiles. For other uses, see Fiat (disambiguation). Fiat S.p.A.

Type Traded as Industry Founded Founder(s)

Societ per azioni BIT: F Automotive, media, financial services, metallurgy 11 July 1899 in Turin, Italy Giovanni Agnelli John Elkann (Chairman), Sergio Marchionne (CEO) Autos, auto parts, financing, newspaper publishing, ad sales 2,094,048 units (automobiles and
LCVs, 2010)
[1]

Headquarters Turin, Italy Key people Products Production output Revenue Operating income Profit Total assets Total equity Employees Subsidiaries

35.88 billion (2010)[1] 992 million (2010)[1] 179 million (2010)[1] 73.44 billion (end 2010)[1] 12.46 billion (end 2010)[1] 137,800 (end 2010)[1]

List[2][show]

Website

fiatspa.com

Fiat S.p.A., (Fabbrica Italiana Automobili Torino)[3] (English: Italian Automobile Factory of Turin), is an Italian automobile manufacturer, engine manufacturer, financial, and industrial group based in Turin in the Italian region of Piedmont. Fiat was founded in 1899 by a group of investors including Giovanni Agnelli. During its more than century long history, Fiat has also manufactured railway engines and carriages, military vehicles, and aircraft. As of 2009, Fiat group (not including Chrysler[clarification needed]) was the world's ninth largest carmaker and the largest in Italy.[4] Fiat-based cars are built around the world. Outside Italy, the largest country of production is Brazil, where the Fiat brand is the market leader.[5] The group also has factories in Argentina and Poland and a long history of licensing production of its products in other countries. It also has numerous alliances and joint ventures around the world, the principal ones being located in Italy, France, Turkey, Serbia, India and China. Agnelli's grandson Gianni Agnelli was Fiat's chairman from 1966 until 1996; he then served as honorary chairman from 1996 until his death on 24 January 2003, during which time Cesare Romiti served as chairman. After their[clarification needed] removal, Paolo Fresco served as chairman and Paolo Cantarella as CEO. Umberto Agnelli then took over as chairman from 2002 to 2004. After Umberto Agnelli's death on 28 May 2004, Luca Cordero di Montezemolo was named chairman, with Agnelli heir John Elkann becoming vice chairman (at the age of 28), and other family members also serving on the board. At this point, CEO Giuseppe Morchio resigned, and Sergio Marchionne was named to replace him on 1 June 2004. In September 2010, shareholders approved a plan to split Fiat's capital goods businesses from the group. Agricultural and construction equipment manufacturer CNH Global NV, truck maker Iveco, and the industrial and marine division of Fiat Powertrain Technologies were spun off into a new group on 1 January 2011. The parent company, Fiat Industrial S.p.A., was listed on the Milan stock exchange on 3 January 2011.[6]

History
Giovanni Agnelli founded Fiat in 1899 with several investors and led the company until his death in 1945, while Vittorio Valletta administered the firm's daily activities. Its first car the 3 CV (of which only eight copies were built, all bodied by Alessio of Turin)[7] strongly resembled contemporary Benz,[8] and had a 697 cc (42.5 cu in) boxer twin engine.[8] In 1903, Fiat produced its first truck.[9] In 1908, the first Fiat was exported to the US.[9] That same year, the first Fiat aircraft engine was produced. Also around the same time, Fiat taxis became somewhat popular in Europe.[10] By 1910, Fiat was the largest automotive company in Italy a position it has

retained since. That same year, a plant licensed to produce Fiats in Poughkeepsie, NY, made its first car. Owning a Fiat at that time was a sign of distinction. The cost of a Fiat in the US was between $3,600 and $8,600, compared to US$825 the Model T in 1908.[citation needed] Upon the entry of the US into World War I in 1917, the factory was shut down as US regulations became too burdensome. At the same time, Fiat had to devote all of its factories to supplying the Allies with aircraft, engines, machine guns, trucks, and ambulances. After the war, Fiat introduced its first tractor, the 702.[11] By the early 1920s, Fiat had a market share in Italy of 80%.[12]

Corso Dante plant

Lingotto factory (1928)

Advertisement, 1939

Mirafiori plant

Lingotto factory (today) In 1921, workers seized Fiat's plants and hoisted the red flag of communism over them. Agnelli responded by quitting the company. However, the Italian Socialist Party and its ally organization, the General Confederation of Labor, in an effort to effect a compromise with the centrist parties ordered the occupation ended. In 1922, Fiat began to build the famous Lingotto car factory then the largest in Europe which opened in 1923. It was the first Fiat factory to use assembly lines; by 1925, Fiat controlled 87% of the Italian car market.[13] In 1928, with the 509, Fiat included insurance in the purchase price.[14] Fiat made military machinery and vehicles during World War II for the Army and Regia Aeronautica and later for the Germans. Fiat made obsolete fighter aircraft like the biplane CR.42, which was one of the most common Italian aircraft, along with Savoia-Marchettis, as well as light tanks (obsolete compared to their German and Soviet counterparts) and armoured vehicles. The best Fiat aircraft was the G.55 fighter, which arrived too late and in too limited numbers. In 1945 the year Mussolini was overthrown the Italian Committee of National Liberation removed the Agnelli family from leadership roles in Fiat because of its ties to Mussolini's government. These were not returned until 1963, when Giovanni's grandson, Gianni, took over as general manager until 1966, as chairman until 1996.

Over time, most automotive companies around the world have become holding companies of foreign as well as domestic competitors. For example, General Motors owned a controlling interest in Saab Automobile and, until recently, in Isuzu. Fresco signed a joint-venture agreement in 2000 under which GM acquired a stake in Fiat Auto. This made it appear as if Fiat was next, although GM has made joint ventures with other companies without acquiring them.

Nevertheless, Fiat did not see the GM partnership as a threat, rather as an opportunity to off-load its automotive business. The agreement with GM included a put option, which held that Fiat would have the right to sell GM its auto division after four years at fair market value. If GM balked, it would be forced to pay a penalty of $2 billion. When Fiat tried to sell GM the company, GM chose the penalty. On 13 May 2005 GM and Fiat officially dissolved their agreement. The current CEO views alliances such as these as the deciding factor of the future success of Fiat. In 2005, Fiat was courting Ford.[17] As part of the recent divestitures, under the guidance of CEO Giuseppe Morchio in 2003 Fiat shed its insurance sector, which it was operating through Toro Assicurazioni to the DeAgostini Group. In the same year, Fiat sold its aviation business, FiatAvio to Avio Holding. In February 2004, the company sold its interest in Fiat Engineering, as well as its stake in Edison. Fiat faces a multitude of threats, including rising steel prices (up by 1630% beginning of 2008),[18] a strong Euro, and increased competition from Japanese and South Korean car manufacturers in Europe. Although the light-vehicle market share of Japanese and South Korean automakers in Europe is less than in the US (12.5% and 3.9%, respectively versus 30% and 3.9% in the US), it has been increasing steadily at about a half a percent a year.[citation needed] In April and May 2009, the possibility of a take over of Adam Opel GmbH, a subsidiary of General Motors, was being discussed between the two companies. The deal fell through, and General Motors held on to Opel/Vauxhall.

Aviation and motorcycles

Main articles: Fiat Aviazione and Piaggio Aero Fiat, as Fiat Aviazione, was an important aircraft manufacturer, focused mainly on military aviation. After World War I, Fiat consolidated several Italian small aircraft manufacturers, like Pomilio and Ansaldo. Most famous were Fiat biplane fighter aircraft of the 1930s, Fiat CR.32 and Fiat CR.42. Other notable designs were fighters CR.20, G.50, G.55 and a bomber, the Fiat BR.20. In 1950s, the company designed the G.91 light ground attack plane. In 1969, Fiat Aviazione merged with Aerfer to create Aeritalia. In 1959, Piaggio came under the control of the Agnelli family. In 1964, the aeronautical and motorcycle divisions split to become independent companies. The aeronautical division was named IAM Rinaldo Piaggio. Today the aeronautical company Piaggio Aero is controlled by the family of Piero Ferrari, which also hold 10% of the carmaker Ferrari. Main article: Vespa The motorcycle division, Vespa, thrived until 1992, when Giovanni Alberto Agnelli became CEO but Agnelli was already suffering from cancer, and died in 1997. In 1999, Morgan Grenfell Private Equity acquired Piaggio.

Fiat Automveis (Brazil)

Fiat Automveis S.A., a subsidiary of Fiat S.p.A.,[42] began making automobiles in Brazil in 1976 beginning with the production of the Fiat 147, the Brazilian version of the Italian Fiat 127, produced until 1986. More than 10,000,000 units were produced in Fiat Automveis factory in Betim since 1976,[43] plus 232,807 units in the Fiat Argentina plant of Crdoba. Launched in July 1979, the 147 was the first mass produced car that ran on ethanol as fuel instead of petrol.[44][45][46] The performance slightly increased and fuel consumption was 30% higher but the cost of the alcohol was a quarter of the gasoline because, at that time, petrol had become expensive as a consequence of the 1979 oil crisis. This version was nicknamed cachacinha (little cachaa) because it had the scent of that Brazilian drink.

The Fiat Siena Tetrafuel 1.4 is a multifuel car that runs as a flexible-fuel on pure gasoline, or E20-E25 gasohol, or pure ethanol (E100); or as a bi-fuel with CNG.

In October 1984 Fiat Automveis introduce the Fiat Uno, as a 1985 model. Currently, the car is sold as the Fiat Mille, as an entry-level model, and received its most recent facelift for the 2004 model year. From 1984 until 2006, up to 2,000,000 Fiat Unos were made in Brazil. The production of the world car the Fiat Palio began in 1996.[citation needed] After the successful 2003 introduction of flexible-fuel vehicles in the Brazilian market,[47] Fiat Automveis launched its first flex model in March 2004, the Fiat Palio, followed by the Siena and Palio Weekend.[48] Fiat sold 665,514 vehicles in Brazil in 2008,[49] allowing the carmaker to continue as the market leader for seven years in a row.[50] Flex fuel automobiles represented almost 100 percent of the car sales in 2008, and 92 percent of all light-duty trucks sold.[51] In 2006 Fiat introduced the Fiat Siena Tetra fuel, a four-fuel car developed under Magneti Marelli of Fiat Brazil.[52][53] This automobile can run as a flex-fuel on 100% ethanol (E100); or on E20-E25 blend, Brazil's normal ethanol gasoline blend;[54] on pure gasoline (though no longer available in Brazil since 1993,[55][56] it is still used in neighboring countries); or just on natural gas (CNG). The Siena Tetrafuel was engineered to switch from any gasoline-ethanol blend to CNG automatically, depending on the power required by road conditions.[57]

[edit] Fiat Argentina

Fiat has been present in Argentina since the beginning of 20th century. There was a Fiat manufacturing plant in Crdoba at least as far back as 1954 when Fiat entered into a joint venture with two local companies to manufacture tractors. In 1959 the construction of a car plant in Caseros was approved, and 1960 saw the production there of the first Argentinian produced Fiat passenger car, a Fiat 600, after the Fiat 1100 Export and after in 1963 the Fiat 1500. In 1977 appears the Fiat 133, just a rebadged Seat 133 but made in Argentina. By 1978 a car manufacturing facility was well established in Crdoba, producing Fiat 128s as well as two models which from the Italian perspective belonged in earlier decades, the 125 (with some derivates) and the 600R.[58] In 1980 a joint venture with PSA called Sevel Argentina S.A. was begun, which lasted until 1995. The current day automobile manufacturing started with a new factory opened in Crdoba on 20 December 1996.[59] From April 1997 the Siena and Palio models production started. Production was suspended in the early 2000s as the Argentinean economy went downhill. In 2008 Fiat invested new money and the production of Fiat Siena saloon and the Fiat Palio was started. In October 2009, a Fiat Siena HLX becomes the 2 million unit produced by Fiat in Argentina. The Fiat Auto Argentina S.A. is Fiat S.p.A. owned company.[60]
[edit] Fiat Serbia

Its first enterprise came in 1955, when it agreed to a deal with Yugoslav carmaker Zastava to assemble Fiats for Eastern Europe. The first cars produced by Zastava were its versions of the Fiat 1300 and Fiat 1400. By 1970, Zastava was producing parts for the newer Fiat 124 and Fiat 125 models, which were assembled in Poland. The Zastava 750, launched in 1962, was Zastava's version of the iconic Fiat 600 minicar. It outlived the car on which it was based, with production lasting until 1981. Zastavas were not popular outside of Eastern Europe before the 1980s, although they were exported to the US under the Yugo brand beginning in 1985.

The most famous product launched by Zastava is the Zastava 101, a front-wheel drive car based on the Fiat 128, also available as a hatchback version never sold in Italy. Despite numerous bad press about quality and reliability, it sold well in Yugoslavia due to its low price, cheap maintenance costs and simple mechanical design. With the demise of the aged Zastava 750 in 1981, the minicar gap in the Zastava range was filled by the Zastava Koral, which was best known in Britain and America as the Yugo Tempo. It was based on the 1971 Fiat 127, which was due to be replaced by the Fiat Uno in 1983. It was among the cheapest cars sold in both countries, and it was well received in its class in Britain, but not so in the more competitive US market. But hostility towards Yugoslavia in the wake of the 1992 civil unrest saw a swift ending of imports to both Britain and America.

The Zastava factory in Kragujevac was later bombed, but was rebuilt after the war ended, and production continued at another factory in Kragujevac. In 1987, Zastava came up with a new car design. The Zastava Florida known in other markets as the Yugo Sana was styled by Giorgetto Giugiaro at the ItalDesign studio, featured a range of refined Peugeot engines, and was mechanically similar to the forthcoming and highly acclaimed Fiat Tipo. It was sold in Britain from 1988 to 1992, but was withdrawn from sale for a number of reasons particularly the domestic upheavals in Yugoslavia and the fall in popularity of the whole Yugo range in Britain. Sales continued in its homeland, with an update at the end of the 1990s. Zastava did not launch another new car for another 16 years. The 2003 Zastava 10 model was another Fiat design this time the second generation Punto. It boasts similar features to the Punto and other cars in its class such as the Volkswagen Polo. It is competitively priced compared to other similar-sized cars, including the Punto on which it is based. Four years after its launch, the Zastava 10 has not yet been sold outside of the former Yugoslavia. According to Fiat sources a new memorandum of understanding between Fiat and the Serb ministry of economic and regional development about the acquisition of Zastava's Kragujevac plant foresees a new company being set up in which the Italians would have a 70 percent stake and the Serb government 30 percent.[61] Several models are to be introduced to the plant once its upgrade is complete, including possibly the Fiat 500 and the new low cost vehicle that Fiat is introducing to compete with Renault's Dacia brand. Once fully bought by Fiat in 2008, the factory was renamed from "Zastava automobili Srbija" to "Fiat automobili Srbija" and the production of Fiat cars only has started. In 2010 and 2011 FAS (Fiat Autimobili Srbija) seen large scale reconstruction. FAS made preparations for the production of new model, code named El Zero. New modern montage line was installed, new production buildings were built, and storage space was expanded. First sample of a new car was taken from the montage line in December 2011. Large scale production is scheduled to start in first quarter of 2011. According to plans factory should meet median production of 300 000 cars annually in 2013. In the same time with company renovation, industrial zone was expanded to accommodate space for cooperant companies in Customs Free zone Gronica, initially planned to be built on location Korman Polje. It is expected that a new car model called Fiat "el zero" will be produced in Serbia sometime in 2012.
[edit] Polski Fiat/FSO (Poland) This section is outdated. Please update this section to reflect recent events or newly available information. Please see the talk page for more information. (May 2011)

Fiat automobiles have been made in Poland since 1920. In 1932, the Polskie Zakady Inynieryjne (Polish Engineering Works, PZIn) started the production of Fiat 508, produced until 1939 also as a military vehicle. In 1936 the licence was extended to include the Fiat 518 model. In 1965, the Polish communist government signed a deal with Fiat to produce selected Fiat models in Poland at the FSO factory in Warsaw that had been built in 1951. Production of the new car the Polski Fiat 125p began in 1967. It was visually identical to the Fiat 125, but it made use of older Fiat mechanicals which dated back to 1960. The car sold well in its homeland and was soon exported to Western Europe. In 1978 it appeared on a new five-door hatchback, the FSO Polonez, that made use of Fiat 125p running gear. After 1982, Fiat withdrew its licence; since then FSO badge was reinstated. The Polski Fiat 125p design survived until 1991, by which time almost 1,500,000 had been made in less than 25 years. It was a cheap competitor for similar Eastern European budget cars, and by the time of its demise, many Eastern European carmakers were adopting modern Western style designs in place of the archaic three-box saloons that had barely moved out of the 1960s. FSO was taken over by Daewoo of South Korea in 1995, by which time the FSO Polonez had been replaced by the Caro, which was little more than a facelift of the 1978 design with underpinnings dating back to 1960. This car was sold in Western Europe until the end of the 1990s, and production finally finished in 2002. FSO had become independent again in late 2000, after Daewoo went bankrupt and was taken over by General Motors. Despite this, FSO continued to build versions of the Daewoo Matiz and Daewoo Lanos. These cars remain in production to this day, although the target of the factory is to focus on the production of the Chevrolet Aveo which has already been introduced.

Fiat 500 & 126

The Fabryka Samochodw Maolitraowych (FSM) in Bielsko-Biaa and Tychy started the output of the Fiat 126(p) in 1973 and the Cinquecento in 1991. In 1992 90% of stock of FSM (Fiat Auto Poland, since 1993) was purchased by Fiat Auto. since then it produced Cinquecento, Uno, Seicento, Siena and Palio Weekend models with the capacity

up to 200.000 cars a year. In 2003, FSM become the sole producer of Fiat Panda, and in 2007 of new Fiat 500 model. The capacity was increased to ca. 280.000 cars a year, and due to new investments in 20062007 will reach over half a million in 2008. This will enable Fiat Auto Poland to include a new model of the Ford Ka, a joint Ford-Fiat project, in its production. It is worth noting both Panda and 500 were selected European car of the year, respectively in 2004 and 2008.[62] Other Fiat investment in Poland is a joint Fiat-GM venture of Powertrain, producing multijet (see JTD engine) car engines both for Fiat and GM models.
[edit] AutoVAZ Lada (Russia)

In 1966, Fiat helped USSR state industries build a new car factory (AvtoVAZ) on the Volga river. A planned city called Tolyatti (named after Palmiro Togliatti, former Italian Communist Party Secretary) was developed around the factory, which started producing a "people's car" similar to the Volkswagen Beetle and Citron 2CV of Germany and France. The new Soviet car, called the Lada, was a more spacious offering, in four-door saloon and five-door estate variants. Fiat installed British machine tools supplied by Herbert-BSA[63] of Birmingham for the manufacture of many Lada parts. The 124's design was mechanically upgraded to survive treacherous Russian driving conditions and extremely cold winters. Imports to Western Europe, Canada, and some third world countries began, and by the early 1980s, the cars began to sell well owing to their low price. This car was upgraded to become the Lada Riva (marketing name in some markets) in 1980. In 1977 the four-wheel drive Lada Niva was introduced which used some proprietary Fiat based components from the car (e.g. engine and gearbox), but the body and four-wheel drive system were VAZ designs. The Riva and Niva are still in production as of 2011. In June 2008, Fiat and Severstal's Sollers JSC have formalised a number of joint ventures announced last year to make and sell Fiat cars and engines in Russia. They will make up to 90,000 diesel engines and up to 50,000 Fiat Linea sedans a year. Production was scheduled to begin in 2008. In June 2011 Sollers JSC has declined previous agreements with Fiat and announce that the joint venture will be created with Ford motor company.
[edit] Bulgaria

19671971 produced Pirin-Fiat in Lovech, Bulgaria.

[edit] Tofa (Turkey)

Tofa is joint venture owned by Fiat SpA and Ko Holding (37.8% Fiat Group Automobiles, 37.8% Koc and 24.3% others).[64] The Fiat 124 was produced under licence by Tofa as the Tofa Murat. This was replaced by a version of the Fiat 131, known as the Tofa ahin. Today

the Fiat Linea car is amongst those manufactured by the Fiat-Tofas joint venture in Turkey, and the company has 12.1% of the Turkish car market as of 2007.[65]
[edit] SEAT (Spain)

In Spain, SEAT Sociedad Espaola de Automviles de Turismo (Spanish Touring Car Company) was established with Fiat assistance in 1950, producing Fiat models under its own brand name until 1981, when Fiat withdrew its support. In 1982 SEAT signed a cooperation agreement with the German manufacturer Volkswagen, and by the end of 1986 after a purchase of a majority stake SEAT had become part of the Volkswagen Group. However, production of some Fiat-based models continued, ending with the Fiat-based SEAT (the Marbella) in 1996.
[edit] South Africa

In South Africa, the Fiat Uno was assembled under licence by Nissan, which marketed it through its dealerships as the Uno, with limited Fiat branding.
[edit] Ethiopia

The Fiat 131, known as the Holland Car DOCC.

[edit] Egypt

Following the Egyptian Revolution of 1952, President Gamal Abdel Nasser ordered the EGID (General Intelligence Agent) to establish a state owned automobile company. Nasr was founded in 1960 in Helwan, Egypt. It began producing some Fiat based models, but later produced the Tofa ahin under license by Tofa. The Fiat 128 last model was built in 2008, while the ahin is in production in Egypt. Currently the El-Mashreq Company, a part of the Seoudi Group is the main manufacturer of Alfa Romeo and Fiat vehicles for the Egypt market. The AAV was also an Egypt manufacturer for Fiat. They asssembled the Fiat Ritmo in order of Nasr.
[edit] India (Premier Automobiles)

Premier Automobiles Limited is a Mumbai-based manufacturer of vehicles founded in 1944. In 1951, the company began producing versions of the Fiat 500 for the Indian market. This was followed by the Fiat 1100 in 1954. In 1973, the Premier name was used on its vehicles for the first time, the Premier President, based on the Fiat 1100 as Premier Padmini. In 1984, they launched the Fiat 124-based Premier 118NE and 138D models. Fiat India Automobiles Private Limited (FIAPL) is a joint venture between Fiat and Mumbai based Tata Motors. It was founded in 1997. Fiat builds the Palio Stile and Palio Stile Multijet in India and imports its Fiat 500 into India from Italy, whereas Fiat has many cars under its hood planned for India like the internationally acclaimed Linea, Grande Punto and Bravo, of which the Linea was released in January 2009 and the Punto in June 2009, both the cars have been well

received both by the press and by the public. The Fiat plant is situated in Ranjangaon near Pune in Maharashtra and also manufactures the Tata Indica.[66]
[edit] Pakistan

Raja Motors are the authorized manufacturers of Fiat motor vehicles in Pakistan since 1948. The manufacturing started with VESPA scooters in 1948. The project was expanded in 2001 to facilitate assembly-cum-manufacturing of Fiat UNO cars. The production facility is located in Landhi Industrial Area, Karachi, Pakistan.
[edit] Sri Lanka

In 196465, the Ceylon Transport Board contemplated production of buses in Sri Lanka in collaboration with FIAT. With the change of Government in 1965, the CTB opted for a deal with British Leyland. In 1973, entrepreneur Upali Wijewardena's Upali Motor Company began assembly of the socalled 'Upali-FIAT' 128. Production ended with the introduction of the open-market economy in 1978.
[edit] North Korea

The North Korean car manufacturer and dealer Pyeonghwa Motors assembles two Fiat models under licence since 2002: Hwiparam (whistle) based on the Fiat Siena, Bbeokgugi (owl) based on the Fiat Dobl.