Italy Close To A $7.1 Billion Bailout Loan For FCA

#Socialism.Ain't.It.Great

Yes. All the corporations line up for a handout. Nice. Propping up companies that don't plan for a rainy day is the reason why there are too many auto factories and too many brands competing for too few new car sales. It just delays the date for when there is only the final 3 making and selling cars; VW, Geeley and Toyota.

Well when the "rainy day" is a hoax dreamt up socialists for the purpose of oppressing people and ruining people financially....

@MD The rainy day analogy holds. It is all encompassing. Financial crash, pandemic, hurricane, volcano. Not like these things never happened before. You can plan ahead and build a cash buffer/war chest or spend it all on ridiculous executive comp, wasteful stock buy-backs and too generous quarterly dividends and have your hand out for a bailout from the tax payer. They should be allowed to fail and let a better firm pick up the pieces or the market share.

Take responsibility--just once--for your socialist tribe CAUSING this rainy day.

Without support FCA merger of equals could be called off, not to mention all Italian politicians have been bought and paid for by the Agnelli family.

The interesting thing to watch will be if the Italian factories and all of Italy for that matter, shut down in August as they traditionally do.

So here's my question: If FCA is so well managed with money sitting right there as many have said, why do they need a bail out?

The fact of the matter is that Marchionne and Manly are absolute idiots that have neglected Dodge and Chrysler that make money for boondoggles like Maserati and Alfa-Romeo that are losing money pits that destroy the bottom line.

The French revolution cannot happen quickly enough.

Maserati was operating at 13+% margin on theIr cars, well above just about every other manufacturer except Ferrari and Porsche. Then Chrysler management took over and everything collapsed.

Another interesting fact is the 7.1 is almost 40% of FCA’s market cap.

FCA should just be nationalized by Italy.