Trial Date Set to Value Remaining Chrysler Share
The UAW Healthcare Trust that owns 41.5 percent of Chrysler will have almost another year to argue with Fiat over what its share of the company is worth.
Fiat hoped for a May trial to speed settling a dispute that resulted in the UAW filing paperwork for an IPO. Fiat threatened to stop supporting Chrysler if the IPO went through. Now a five-day trial is set to take place from September 29 through October 3 in Delaware.
The UAW trust requested a January 2015 trial date. Judge Donald Parsons split the difference between the two requests and is expected to rule within 90 days of the trial’s conclusion.
SEE ALSO: Chrysler IPO Mentions ‘First Ever’ Small SUV for Brand
Fiat and Chrysler are currently propping each other up. European auto sales are in their sixth straight year of decline, and Fiat needs access to Chrysler’s cash. Meanwhile, Chrysler is borrowing heavily from the Italian brand by using its platforms to underpin new products. The Dodge Dart shares architecture with Alfa Romeo’s Giulietta as does new Jeep Cherokee. Jeep is also developing a new small crossover based on Fiat’s “small wide platform.”
[Source: Automotive News]
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Luke is an energetic automotive journalist who spends his time covering industry news and crawling the internet for the latest breaking story. When he isn't in the office, Luke can be found obsessively browsing used car listings, drinking scotch at his favorite bar and dreaming of what to drive next, though the list grows a lot faster than his bank account. He's always on <A title="@lukevandezande on Twitter" href="http://twitter.com/lukevandezande">Twitter</A> looking for a good car conversation. Find Luke on <A title="@lukevandezande on Twitter" href="http://twitter.com/lukevandezande">Twitter</A> and <A title="Luke on Google+" href="http://plus.google.com/112531385961538774338?rel=author">Google+</A>.
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