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FCA Quarterly Report


Anthony

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I love how Chrysler talks up adjusted EBIT so they don't have to include the NHTSA fines and escrows in their talking points.

 

Their 'net debt' position is better than it was, but you're looking at that term and saying, "wut?" because it's really non-standard for this industry.

 

GM & Ford do not have 'net debt', they have 'net liquidity'. Their cash & equivalents exceed their automotive debt obligations.

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As long as your debts exceed your cash, that's what you report.

 

Really wasn't a bad quarter for FCA, though. The way Sergio was trying to shake loose merger partners the past few months, I thought sure there was going to be an unpleasant surprise in this quarter's reports.

Maybe he's figured that the North American market recovery has peaked, and Fiat-Chrysler has made the easy gains, so things are going to get much tougher in the coming 2-3 years?

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Maybe he's figured that the North American market recovery has peaked, and Fiat-Chrysler has made the easy gains, so things are going to get much tougher in the coming 2-3 years?

And these are supposed to be the good times, what happens if / when the current boom loses steam and sales begin falling?

 

FCA is playing without a safety net.....or more correctly, Sergio's safety net is convincing a rival's investors that a forced merger is good for everyone.

 

Good luck with that..

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