Fiat Sales Chief Andrea Formica resigns image

Italian automaker Fiat SpA has said that Andrea Formica, the head of sales for Fiat car brands worldwide and for the Chrysler brand in Europe, has resigned. He has held this post for less than a year.

Andrea Formica informed colleagues via e-mail on Tuesday that he was quitting. Fiat has been struggling to reverse a fall in Europe sales, which fell 12.7 per cent in the first six months from a year earlier, according to Acea, the regional carmakers’ group.

The automaker says Sistino, who has been serving in another executive post with the Italian automaker, will go back to his old position, replacing Formica.

Fiat had planned to make the new models for the two brands at a plant in its home town of Turin and export them to North America, but the dollar’s weakness against the euro has made it reconsider.

The CEO added that the US market is performing well, but in Europe the situation is dire: in Italy, the firm’s domestic market, Fiat has recorded its lowest share since 1996.

“The US market continues to go well. We had already forecast that it would head towards 12.7 million cars and never expected it, like others did, to exceed 13 million.”

Marchionne last month appointed purchasing chief Gianni Coda to run Fiat and Chrysler in the region. Coda starts his new job tomorrow.