Thursday, July 4, 2013

Fiat Moves Closer to a Merger With Chrysler

Fiat (NASDAQOTH: FIATY  ) CEO Sergio Marchionne has made no secret of the fact that he wants to merge the Italian auto giant with Detroit's Chrysler. Fiat took control of Chrysler in the wake of its 2009 bailout, and has remade the scrappy Detroit icon's products into a successful and strong-selling lineup.

Now, Fiat is moving to acquire the rest of Chrysler, but there's an obstacle: the UAW, which holds the shares Fiat needs to buy. In this video, Fool.com contributor John Rosevear explains what needs to happen for the merger to go forward – and why the dispute between Fiat and the UAW has gone to court.

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