Is FCA Having Cash Flow Issues Inspite Of Record Sales?

So far, the tally is 2 bankruptcies and 2 giga-bailouts for Chrysler. Are we queuing up No.3?

Cue the the American flags, patriotic speeches, and make that phonecall to that Chinese bank to borrow more money we don't have, saddle taxpayers with still more debt, and let's throw more money at a continuously failing giga-enterprise. The "Three Strikes" policy doesn't apply here.

Sergio Marchionne is certainly trying to hook with anyone he can in a partnership.

I can't tell if there is anything in the finances or simply that he wants to be known for creating the largest automaker in history.

Weak man of US merged and weak man of Europe; famous for making iconic models (but can't carry a high price) with limited volume; not known for R&D prowess or racing success; limited market recognition beyond their home market. But gosh darn it, it's Daimler who raped them of their "technology and cash". Good riddance.

Fiat had little in the way of product that could be sold here - and Chrysler product needed to be replaced to achieve the record sales. They even needed to outsource their Automatic Transmission design to ZF (Which could not have been cheap). About the only thing they had was the "Multi-AIR" technology and a few 4 cylinder engines. The Pentastar V6 is already old news as well. _ And Fiat has floundered in europe with more outdated product there as well.

GM does not need more American product - about the only thing worthwhile from FCA would be Jeep. Gm is already generations ahead with their engines - is bring their transmissions online already so they do not need ZF - and there is little synergy between Fiat Europe and Opel - the Fiat platforms are old and not worth anything.

So - the only real thing Fiat brought to the table was STYLE - which - when they redesigned the Jeep Product - hit the nail on the head. But it costs money to develop not only new platforms - but also a whole set of new cars. The "updated" Chrysler 300 is a disappointment. The 200 us too heavy. So is the Dart. And we still do not have replacements for the Chrysler Mini-Van. So - WIth all the new product needed - and platforms - and engines - etc - why be surprised that they are looking for a partner.

They are having cash flow issues because their sales are fueled by HEAVY incentivized products. You can almost buy a Chrysler 200 for the price of a Fiesta.

Merge with Hyundai/Kia and then with SAIC/Nanjing.

But don't you worry now, them Hellcats and Abarth are going to save the day. Just out of curiosity, why are they offering huge incentives anyway, could it because those FCA cars can't compete with the competition?

The "Fiat" Chryslers (Dart, 200, Cherokee, and Renegade) are close but no cigar kind of vehicles. Given how fast they were developed, they are impressive, FCA is still having to pay people to buy their cars.