Marchionne: European sales figures to drop again
Marchionne firmly believes that figures will reduce even more this year to 13.1m total unit sales (2011: 13m). His opinion comes as a result of low consumer spending confidence as European oil prices soar to new highs.
He said at a recent shareholders meeting that: 'for 2012 the market expectations in Europe are not encouraging.' Marchione also spoke of the little confidence that he has for the individual outlook of Fiat in their home country of Italy, where sales are expected to fall to 1.5m due to what he describes as a "horrible" March – in fact, Fiat's worst in over thirty years.
With Fiat's three core business marques in Fiat, Alfa Romeo and Lancia losing in the region of EUR 500m in 2011, Marchionne has affirmed that any recovery in the Italian automaker and its subsidiary marques, will not take place until the latter part of 2012 at the earliest.
The group profits of Fiat will therefore take into account last year's losses, as Marchionne expects to generate a net profit of between EUR 1.2 – 1.5bn in 2012 with overall revenues exceeding EUR 77bn.