NEWS » Fiat now to be known as FCA
Fiat now to be known as FCA
The Historical brand FIAT is now called Fiat Chrysler Automobiles after the merging of Fiat and Chrysler. A new logo, made from the letters FCA and rendered in light blue, has been introduced. It was designed by Robilant Associati, a Milan firm that designs logos and branding systems.
The shapes of the logo have symbolic meaning. The geometric configuration of the three letters in the logo is inspired by the essential shapes used in automobile design. The letter F is derived from a square and symbolizes solidity and concreteness; the letter C is derived from a circle and represents wheels and movement, symbolizing harmony and continuity. Energy and a perennial state of evolution is represented by the letter A, derived from a triangle.
The Italian group is not so Italian anymore as the legal head office will be in the Netherlands, and the tax residency in London, as it offers significant benefits for the cashing in of dividends. Apparently the group will continue to pay taxes in the countries where it operates.
The tax benefits are generated mainly from intercompany transactions between the foreign holding and operating companies based in Italy. If Fiat cashed in dividends in Turin, it would pay 1, 375% tax, while in England this percentage doesn’t apply. The benefits increase for interests and royalties.
Fiat Chrysler Automobiles will be listed on the New York Stock Exchange and will have a second list in Milan. In Wall Street, the debut could take place by October.
The adoption of international governance and the planned prices might improve access to global markets with obvious financial benefits. The current organization into four operating regions will continue to be the backbone of the new company. All activities incorporated in FCA will continue their mission, including, of course, the manufacturing plants in Italy and in the rest of the world, and there will be no impact on employment levels. In early May a new strategic plan should be confirmed in which the projects to be assigned to the Italian industrial plants will be revealed.
Among the unions Fiom goes on the attack and speaks of "outsourcing”. As a matter of fact it’s not clear if this new situation will be an advantage or a disadvantage, in terms of employment and growth of the Italian economy.