Not one to give up on corporate marriage, FCA CEO Sergio Marchionne posted a merger thesis on his company's website prior to FCA's Q1 2015 earnings call.
The 25-page PowerPoint presentation – titled "Confessions of a capital junkie" – makes the case for consolidation by outlining several key issues all automakers are facing, and the savings that could be garnered only through consolidation, Detroit Free Press reports.
Despite being blown off by General Motors, Ford, Peugeot and a handful of others over the past few weeks, Marchionne states the presentation doesn't let his company off the hook as far as its current position "in the automotive food chain" goes, nor is it an attempt to sell FCA, a revision of his five-year plan, or his "final big deal." Instead, he goes into the need to consolidate companies to better handle increasing capital investment costs as far as rapid technological development, climbing regulatory costs, and tightening emissions standards go.
According to Marchionne, consolidation would not only reduce the aforementioned costs, but better optimization of industrial allocations and "an exceptional value creation opportunity for shareholders" while leaving jobs, distribution and brands untouched.
[Photo credit: Italian Embassy/Flickr/CC BY-ND 2.0]
The post Marchionne Makes Case For Consolidation With 25-Page PowerPoint appeared first on The Truth About Cars.
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