Report – Alfa Romeo to become independent image

According to sources with knowledge of the plans, Fiat Chrysler Automobiles CEO Sergio Marchionne plans to make the Italian sports brand a stand-alone company.

The move is part of the broader revival plan that Marchionne envisions for the struggling brand, as it aims to give Alfa Romeo the same independence that Ferrari and Maserati have.

At the moment, Alfa is a subsidiary of Fiat Group Automobiles S.p.A., which also has the Fiat namesake brand, Lancia, Fiat Professional (commercial vehicles) and the sporty Abarth sub brand.

The people familiar with the matter say the CEO would make the announcement on May 6, when the new strategy for the FCA group would also be revealed. Also, the move would make Alfa Romeo a legal entity that publicly discloses profit and losses.

“Marchionne needs to make Alfa’s P&L clearly visible to make this new relaunch attempt into a credible business proposition,” said one of the people.

FCA’s CEO needs a successful turnaround for Alfa Romeo and to establish it as a global brand in order to achieve the goal of returning to profit the European operations of the group. Alfa’s new revival plan would be the fourth since Marchionne joined Fiat in 2004 and would rely on the brand going upscale and challenging the established premium automakers like Jaguar or BMW.

Via Automotive News Europe