the closing of 111 years of solitude…two brave new worlds … · the closing of 111 years of...

January 27, 2011 Q4 & FY ‘10 Results Review 1

The Closing of 111 Years of Solitude…Two Brave New Worlds Revisited

Q4 & FY ‘10 Results Review


Dawn of a new day


Fiat SpA & Fiat Industrial“D-Day”


FY ‘10 highlightsAll key indicators ahead of previously upped guidance, all businesses contributing positively

Net profit (€/mn)

600

222

378

Net industrial debt(€/bn)

2.4

0.5

1.9

Liquidity(€/bn)12.2

3.7

15.9

A positive swing of €1.4bn over 2009

• Reduced significantly (€4.4bn in 2009) reflecting positive operating performance for all businesses and continued disciplined working capital management

• Split between Fiat post-demerger and Fiat Industrial takes into account effects deriving from demerger occurred on Jan 1, 2011

Revenues(chg vs. FY ’09) (€/bn)

Trading profit(chg vs. FY ’09) (€/bn)

Trading margin(chg vs. FY ’09)

• Automobiles business up 6.3% on increased sales of LCVs, Ferrari and Maserati, in addition to positive FX more than offsetting decline in unit volumes in passenger cars for FGA

• Fiat Industrial: significant volume recoveries for all businesses

• Automobiles €934mn(up €215mn y-o-y)

• CNH and Iveco more than double prior year’s results

Cash position of €15.9bn further strengthened (2009:€12.4bn) also thanks to strong cash flow from operations and continued access to capital markets

+12.3%

+9.8%+18.8%

+2x+51.1% +3.4x

56.3

35.9

21.3

+1.8 p.p.+0.8 p.p.

+3.3 p.p.

2.2

1.1 1.1

3.9%3.1%

5.1%

Fiat Group

Fiat Group


FY ‘10 highlights (cont’d)

Fiat Industrial financing package

Successfully signed and syndicated a €4.2bn financing package in December

3-year €2.0bn revolving credit facility

1-year €2.2bn bridge to Capital Markets term facility plus 1-year extension at Company’s option

In January 2011, newly negotiated credit facilities became available and drawn down to the extent necessary to fully repay

amounts owed to Fiat’s central treasury

Had this taken place at year-end, liquidity would have been €1.0bn higher for Fiat post-demerger, with Fiat Industrial’s liquidity and

cash balances unchanged while still having access to an additional €2.0bn of committed undrawn credit facilities

€1bn bi-lateral committed credit facilities finalized and now available to Fiat Industrial

Fiat’s Board of Directors recommend a total dividend for all 3 classes of Fiat S.p.A. shares of €152mn (ex own

shares) with proposed distribution by share class as follows

€0.09 per ordinary share, representing a total distribution of €98.3mn (€94.8mn excluding own shares currently held)

€0.31 per preference share, representing a total distribution of €32mn

€0.31 per savings share, representing a total distribution of €24.8mn

Fiat SpA increased ownership interest in Chrysler Group LLC from 20% to 25% on January 10th following

achievement of first of 3 performance-related events (beginning of commercial production of FIRE engine in

Dundee facility)


FY ‘10From trading to net result

“Unusual items, net”:

Mainly due to restructuring costs across all Sectors (€176mn) inclusive of related-asset write-off

“Financial charges, net”:

Increase primarily due to cost of maintaining a higher level of liquidity

Include gain of €111mn on two stock-option related equity swaps (gain of €117mn in FY ‘09)

'10 '09 ∆

Trading profit 2,204 1,058 +1,146

Unusual items, net (195) (699) +504

Operating income 2,009 359 +1,650

Financial charges, net (905) (753) -152Investment income, net 178 27 +151

Pre-tax result 1,282 (367) +1,649

Taxes (682) (481) -201

Net result 600 (848) +1,448

FY(€mn)


Strong operating cash flow in the quarter enhanced by working capital contribution

Further stock reduction

Seasonal increase in trade payables

Continued Capex discipline

(€mn)

Q4 '10 FY '09 FY '10

(3,966) Net Industrial (Debt)/Cash beginning of period (5,949) (4,418)

318 Net Income (848) 600 734 D&A (excl. Vehicle Buybacks) 2,667 2,846

221 Change in Funds & Others 118 552

1,273 Cash Flow from Op. Activities bef. Chg. in W.C. 1,937 3,998

1,553 Change in Working Capital 2,564 1,886

2,826 Cash Flow from Operating Activities 4,501 5,884

(1,404) Tangible & Intangible Capex (excl. Vehicle Buybacks) (3,382) (3,712)

1,422 Cash Flow from Operating Activities net of Capex 1,119 2,172

10 Change in Investments, Scope & Other 525 (76)

1,432 Net Industrial Cash Flow 1,644 2,096

(1) Capital Increase / Share Repurchases / Dividends (20) (238)

93 FX Translation Effect (93) 118

1,524 Change in Net Industrial Debt 1,531 1,976

(2,442) Net Industrial (Debt)/Cash end of period (4,418) (2,442)

Group cash flowQ4 & FY ‘10


Synergies across businesses

Group savings in 2010 at 7.3% of transformation

cost, well above initial target

Enlargement of scope and plant level upgrading

Achievements since implementation: 73 Fiat SpA & 57 Fiat

Industrial plants involved, program extended to 200 supplier

plants

Awards: 7 plant upgrades in 2010, with 7 plants now at

“Silver” level & 12 at “Bronze” at Fiat SpA; 2 plants at “Silver”

level & 6 at “Bronze” at Fiat Industrial

Achieved €380+mn net savings in FY, exceeding

original target, with Q4 performance flat due to

price hikes of certain raw materials (i.e. steel,

rubber…)

Joint purchasing activities with Chrysler Group

proceeding apace, contributing positively to FY

results

FY ‘09 Average

Q4 ‘10 Average

FY ‘10 Average

Dec 08=100

Q4 ‘09 Average

Group PurchasingPerformance trend 2010 - Direct materials

World Class Manufacturing

0

200

400

600

800

1,000

1,200

2006 2007 2008 2009 2010

Savings achieved Cumulative savings achieved

~€1,100mn

€m

n

20 Novembre, 2010

FY revenue & trading profit by business

Fiat Group Automobiles

Luxury & Performance brands

Fiat Powertrain

Outlook

1

2

3

4

5

January 27, 2011 Q4 & FY ’10 Results Review 10

1

Revenues(€mn)

30,13035,880

(5,115)

6.3%9.8%

10,865

23.6%

Automobiles Components & Production

Systems

Eliminations& Others

FY‘10

Trading profit(€mn)

9341,112

29.9%

249

(71)

Fiat Group Automobiles

• Revenues up 6% to €27.9bn on favourable mix & FX impacts partially offset by volume declines for passenger cars (+0.5% at constant FX rate)

• Trading profit up nearly a third with 2.2% margin on improved mix with notablerecovery in LCV demand, significant contribution from Brazil, continued improvements from purchasing & WCM efficiencies

51.1%

+2.8x

Luxury & Performance brands

• Double-digit combined top-line growth: Ferrari at €1.9bn, up 7.9% & Maserati up 30.8% to €0.6bn

• Trading profit for both brands benefited from performance of new models and optimization of cost structures: Ferrari up €65mn to €303mn (15.8% margin); Maserati more than doubled to €24mn (4.1% margin)

Components & Production Systems(Fiat Powertrain*, Magneti Marelli, Teksid, Comau)

• Revenues of €10.9bn, up 23.6% Fiat Powertrain up 24.9% to €4.2bn

Magneti Marelli up 19.3% to €5.4bn on strong performance for LCVs and recovery in medium-large passenger car segments

• Nearly tripled trading profit to €249mn (2.3% margin), driven by higher volumes & improved product mix Fiat Powertrain improved by €36mn to €140mn

Magneti Marelli up €73mn to €98mn due to increased sales volumes, cost containment actions and manufacturing efficiencies

Automobiles Eliminations& Others

FY‘10

FGA 27,860 6.0%

Maserati 586 30.8%

Ferrari 1,919 7.9%

FGA 607 29.1%

Maserati 24 +2.2x

Ferrari 303 27.3%

Components & Production

Systems

* Fiat Powertrain includes activities of Passenger & Commercial Vehicles business line of former FPT Powertrain Technologies sector

FY ’10Fiat post-demerger – Revenues and trading profit by business


Fiat Group AutomobilesSales volumes & industry outlook

2

FY ‘10(change vs. prior

year)

FY ‘11E(change vs. prior year)

EU27+EFTA (4.9)% ~(3)%

ITA (9.2)% ~(5)%

BRA 6.9% +0-5%

EU27+EFTA 9.2% +2-3%

ITA 6.2% + ~1%

BRA 29.5% +2-5%

Passenger cars

LCVs

Italy

EU* ex-Italy

RoW

LA

Pas

seng

er c

ars

Unit Sales (x000)

963

390

60

668

2,082

416

FY ‘10 FY ‘11E

547

2.2 to 2.3 mn units

• FY ‘10 Passenger car industry (EU27+EFTA) down 4.9% to 13.8mn

units with mixed but overall positive trend in minor markets unable to counter drop in demand A mixed year, with overall market up in Q1 on the back of eco-

incentive tail in most countries while down ~10% for the rest of the year

Sharp decline in Germany (-23.4%) but improved in latter part of 2010 (-8.2% in Q4) & Italy (-9.2% or ~200k units for FY; -22.7% in H2)

UK & Spain up 1.8% and 3.1% respectively with double-digit decline in H2 due to phase-out of incentive programs; demand slightly negative in France (-2.2%) with trend deteriorated in H2

LCVs market (EU27+EFTA) recovering from 2009 lows, topping 1,660k units, but well below 2007-08 levels Double-digit demand growth in Germany, France & UK; more

modest increase in Italy & Spain (+6.2% and 9.5% respectively)

• FY ‘11 expectations EU27+EFTA Passenger cars: market projected to ~13.3mn units, with

decrease driven by France & Italy while Germany up slightly; FGA share expected to improve on the back of new launches in H2

LCVs: slight increase in overall European market including top-5 markets; Fiat Professional maintaining a leading position

Brazil: overall industry projected in 3.35-3.50mn units range; Fiat share expected at 2010 level

LCVs

* EU27+EFTA


January 2008 January 2011

Fiat Group AutomobilesPassenger car business dynamics in 2010

2

[Change vs. last year in percentage points]

FY share at 7.5% (1,035k registrations), down 1.1 p.p. mainly due to underperformance in Italy & Germany Italy: drop in demand largely driven by sharp contraction of CNG &

LPG powered vehicles (-25%) where FGA has lion’s share; up 0.2p.p. ex alternative-fuel market

Europe ex-Italy share at 3.8% (-0.6 p.p.): gains in the Netherlands, Spain and other countries unable to offset negative performance in Germany with FGA’s relevant market segments down 40+%

By brand Fiat at 6.0% (-1 p.p.) or 825k units Lancia at 0.7% Alfa Romeo stable at 0.8% (110k units) with targeted performance of

Giulietta providing support to the brand for stable registrations

• FGA residual value gap vs. peers significantly narrowed in Italy due to continued quality enhancement and careful price management Residual value stable since 2008 with 2.6 p.p. reduction vs.

industry average Fiat brand: 0.3 p.p. better than industry average; Lancia +7.8 p.p.;

Alfa Romeo +3.2 p.p.

• Residual value of FGA products narrowing distance vs. industry average also in UK & Germany

Source: Eurotax Blu

* Excludes OEMs with market share below 1%

(4.1)%

36 months

(1.5)%

Industry average* FGA

+0.3

-0.5 -0.5

+0.7

-0.5

-0.3

-1.7

-2.7

+0.3

+0.8

+1.2

+0.5

-2.2

+0.2

-1.6-0.1

-1.9

+1.7

+0.2

-0.2

-0.2

=

+0.6

+0.3

EU27+EFTA


Fiat Group AutomobilesThe Cinderella stories

2

• All-time overall industry high at 3.3mn units in ‘10 (+10.6% vs. prior year); record sales in December (361k units) Fiat leader for 9th consecutive year with 22.8% overall share Booming passenger car market (+6.9% to 2.7mn units) Successful launch of Novo Uno (110k units sold), winner of 15

prizes in 2010 including “Carro do Ano” award

Strong LCV market, up 29.5% to 0.6mn units Fiat undisputed market leader with ~8 p.p. advantage

Brazil

• Laid foundation for new plant inPernambuco at December-end Investment of ~R$3bn, part of

~R$10bn commitment to be investedin Brazil in 2011-14 timeframe

Start-of-production expected in 2013, with initial yearly capacity of 200k locally developed vehicles for domestic market and export to LA countries

LCVs

Fiat Professional FY share of 12.8% in EU27+EFTA, unchanged vs. 2009 Registrations up 17k on the back of highly competitive product offering

and strong distribution network Share at record high despite unfavorable market mix in H2

Italy: 3 p.p. gain to 44.0% in a market progressing at slower pace (+6.2%) than overall Europe

Europe ex-Italy: double-digit share in half of European countries, with gains in all markets, except Germany, France, Belgium & Portugal

EU27+EFTA(market share; %)

FY ‘06 FY ‘07 FY ‘09FY ‘08 FY ‘10

10.9 11.7 12.3 12.8 12.8


Fiat Group AutomobilesProduction systems & labour union agreements

2

Capacity utilization

2009A 2010A

(Passenger car plants)

Rest of Europe 2

Italy 1

Harbour definition(235 days per annum/16 hours per day)

Technical definition(280 days per annum/3 shifts per day)

2010 key commitments (Italy)

• Labour Union agreements: securing the future through greatest operating flexibility at plants

Pomigliano d’Arco: new collective labour agreement in force since Jan 2011 replacing national Metal Industry labour contract

Start of production of future Panda in H2 2011 (expected volumes up to 270k units/year)

Mirafiori: agreement for plant re-launch through establishment of Fiat & Chrysler JV

Production of C-segment SUVs for distribution under both Jeep & Alfa Romeo brands worldwide (including US) with output levels of up to a maximum of 280k vehicles per year

Ensuring more effective plant operations, with no infringement on worker rights

All conditions of national collective agreement remaining unchanged, as well as, those granted over time by Fiat in favour of workers

• Termination of car production at Termini Imerese plant in 2011

1 Italy: Cassino, Melfi, Mirafiori, Pomigliano d’Arco & Termini Imerese2 Tycky (Pol), Kragujevac (Ser), Bursa (Tur)


Luxury & Performance brands – FerrariAll-time record of units sold

3

• China now a top-5 international market for Ferrari

Record high of ~300 units sold, up 50% vs. last year

• Strengthened official network to 10 dealerships, with new locations opening in various cities within next few months

• FY revenue up 7.9% to €1.9bn mainly reflecting higher sales volumes and positive contribution from customization program

Units sold up 5.4% to 6,573

Continued success of Ferrari California and full roll-out of 458 Italia accounting for 87% of total deliveries

Excellent performance of limited edition 599 GTO

• FY trading profit up 27.3% to €303mn on higher sales volumes, excellent results from customization program and efficiency gains

Trading margin at 15.8% (up 2.4 p.p.)

Units sold by region (%)

USA28%

European Top 537%

China7%

Japan7%

Others21%


Luxury & Performance brands – MaseratiExpanding international reach

3

• FY revenue up 30.8% to €586mn primarily attributable to excellent sales performance for new GranCabrio

5,675 units sold, up 26.4%

Positive performance in majority of 59 national markets USA, #1 market: +45% UK: +72% China: +128% (becoming 4th largest market)

• FY trading profit at €24mn (2.2x last year level) on the back of higher sales volumes and continued optimization of operating costs

Trading margin at 4.1% (up 1.6 p.p.)

GranTurismo MC Stradale

presented at Paris Motorshow with commercial launch in 2011

Units sold by region (%)

USA36%

European Top 531%

China8%

Japan3%

Others23%

New products and accomplishments New GranTurismo MC Stradale, fastest, lightest and

most powerful model in the product range Limited edition Quattroporte Sport GTS Awards

Edition and GranTurismo MC Trofeo MC12's victory of the 2010 FIA GT1 World

Championship


Fiat Powertrain4

• FY revenue up 24.9% to €4.2bn (+11.1% on

comparable basis) on continued robust sales in LA

partly offset by decline in Europe

Engines up 2.5% to 2,347k

Transmissions up 1.1% to 2,233k

• Trading profit improved by €36mn to €140mn driven

by favorable sales mix and manufacturing &

material efficiencies

Awarded with “Best of What’s New” in US by “Popular Science” magazine in Q4

2010

Other key achievements

Start of production of 2.0L 140hp Fam. B diesel engine, a

new version featuring down-speeding technology (4%

reduction in consumption on combined cycle)

1.4 MultiAir turbo engine awarded “Engine of the Year” in

the best new engine of the year category

Awarded prestigious international “Technobest 2010" prize

for innovative TwinAir 2-cylinder engine


• 2011-14 Plan confirmed• 2011 targets Revenues of ~€37bn

FGA volumes of between 2.2 and 2.3mn cars, with continuing strength expected from Brazil and recovering volumes in H2 2011 in Europe

Trading profit of €0.9 to 1.2bn

Net Income of ~€ 0.3bn

Capital expenditures of €4.0 to 4.5bn

Net industrial debt between €1.5 and 1.8bn

• Dividend policy for 2011, a transition year, is expected to remain unchanged, with expected payout range of 25% of consolidated income with a minimum payout of €50mn The Board of Director will articulate a dividend policy for later years within 2011

As per Apr 21, 2010 Plan(€bn) 2011E 2012E 2013E 2014E

Revenues 37 45 57 64

Trading Profit 0.9-1.2 1.6-2.0 2.5-2.9 3.2-3.8

Industrial EBITDA 3.6 4.7 6.0 6.9

CAPEX 4.0-4.5 4.2 3.6 3.7

OutlookFiat post-demerger

5

January 27, 2011 Q4 & FY ’10 Results review 19

January February March April May June July August September October DecemberNovember

Apr i l 20Q1 Results

February 18

Consolidated and parent company

financial statements for 2010

2011 financial calendar

October 27Q3 Results

March 30Annual General Meeting

July 25Q2 & H1 Results

20 Novembre, 2010

3 Iveco

2 CNH

5 Outlook

4 FPT Industrial

1 FY revenue & trading profit by business

January 27, 2011Q4 & FY ’10 Results Review 21

21

Revenues(€mn)

11,906

21,342

(1,286)

17.8%

18.8%

8,307

15.6%

2,41552.8%

CNH IVECO Eliminations& Others

FY‘10

CNH

Double-digit growth in FY revenue on improved demand for AG driven by increased global commodity prices and healthy recovery in CE demand, particularly in the Americas and Asia-Pacific markets

Trading profit of €755mn, up €418mn (a 300 bps margin improvement) due to higher sales volumes, increased capacity utilization in the Americas, improved product mix and pricing

Iveco

Revenues up 15.6% with overall deliveries up 24.8% to ~130k (+52.4% in LA; +41.6% in East Europe; +17.3% in WE)

Improvement of €165mn in trading profit with 3.3% margin primarily driven by higher sales volumes and production efficiencies

FPT Industrial*

Revenues 1.5x of last year level on strong volume recovery Swing of €196mn over last year in trading profit (2.7% margin) on

strong volume increase and manufacturing & material efficiencies

Trading profit(€mn)

755

1,092

+2.2x

270+2.6x

CNH IVECO Eliminations& Others

FY‘10

65 2

+3.4x

n.a.

FPT Industrial

FPT Industrial

*FPT Industrial includes activities of Industrial & Marine business line of former FPT Powertrain Technologies sector

FY ‘10Fiat Industrial – Revenues and trading profit by business


2

• FY ‘10

Global AG industry up 8%• NA: market demand for high hp tractors and combines continued to

support overall industry on strong AG commodity prices and solid farm income

• WE: tractor sales up 12% in Q4 2010 but FY industry level remained below historical norm

• LA: industry sales growth on good fundamentals and stability in government’s support to AG sector

• RoW: positive market demand overall and especially strong in Turkey

CNH tractor market share• Global share in line with industry trend, share stable in WE despite

industry decline

• NA share slightly down in <40hp and mid-sized utility tractors while transitioning to new and more competitive products

CNH combine market share• Gains on strong performance in RoW region

Company and dealer inventories in line or below industry averages largely driven by strong demand in NA in Q4 and selective production curtailments in Brazil

• FY ‘11 expectations

Global AG demand flat to up 5% vs. 2010• Tractors demand flat to up 5%

• Combines demand up 5-10% with growth in every region

FY ‘10 FY ’11E

Industry(change vs.prior year)

CNH(performance

relative to mkt)


WW +8% +0-5%

NA +5% ~ +5%

<40hp +5% +5-10%

40+hp +6% +0-5%

WE (9%) +5-10%

LA +20% ~ (5%)

RoW +13% +0-5%

WW +2% +5-10%

NA +9% +5-10%

WE (29%) ~ +10%

LA +29% +0-5%

RoW +3% +10-15%

Combines

Tractors

CNH Agricultural EquipmentSales volume & industry outlook

2


FY ’10 FY ‘11E


CNH(performance

relative to mkt)


WW +35% +8-12%

NA +20% +25-30%

WE +23% +15-20%

LA +89% +0-5%

RoW +50% Flat

WW +59% +5-10%

NA +14% ~ +25%

WE +17% ~ +15%

LA +86% ~ +5%

RoW +71% ~ +5%

Light

Heavy

• FY ‘10

Overall CE industry up 47% off a low basis in 2009

• LA: market remained solid, supported by increased infrastructure activity

• NA: volumes up both in Q4 and for FY, largely as a result of restocking of ageing fleet

CNH market share in line with market growth

• LA share down due to CNH local manufacturing capacity constraints; important capacity expansion projects started in 2010

Production 13% below retail to allow for de-stocking initiatives to be completed, and as a result of product launch related capacity losses and for introduction of new models in 2011

• FY ‘11 expectations

Global demand for Light equipment expected to increase 8-12%

Global demand for Heavy equipment expected up 5-10%

2CNH Construction EquipmentSales volume & industry outlook

2


• CNH International ideally positioned through its global footprint to capture rapid growth of AG and CE equipment in emerging markets

• Investment income of €66mn in 2010 attributable to CNH from Equipment Operations unconsolidated JVs (negative interest of €32mn in 2009)

Other International region consolidated subsidiaries

RussiaKamaz - Tractors, Combines, CE

ChinaHarbin – TractorsShanghai - Tractors

UzbekistanTashkent - Tractors, Planters

Significant unconsolidated subsidiaries

TurkeyTTF – Tractors

JapanKCM - Excavators

HFT – Tractors

PakistanAl Ghazi – Tractors

IndiaL&T – Tractor Loader Backhoes, Compactors

2CNHAG&CE JVs operations update

2

• Russia Successfully achieved local manufacturer status (via CNH-

Kamaz JV) for assembly of New Holland AG high hp 4WD T9000 and row crop T8000 tractor series and CSX combine harvesters; CE localization planned for 2011

• China Manufacturing facilities expansion in Harbin to maintain

leadership in imported large equipment Leverage of Chinese low cost platform to export tractors in

other international region markets (i.e. South East Asia)

• Turkey Market strongly recovered from its 2009 slump

• India New Holland India more than doubled its export to the

Americas and select African markets Current capacity expansion underway to capture new

volumes in growing market and to expand production into balers, cane and cotton harvesters and rice farming equipment

• Uzbekistan Continued leadership position through localized tractors Introduction of construction equipment


Iveco (Trucks)Sales volume & industry outlook

3

Industry (≥3.5T)(change vs. prior year)

FY ‘10 FY ‘11E

WE +6% +5-10%

EE +13% +5-10%

LA +32% Flat

Light Medium Heavy

• FY ‘10 WE market up mid-single digit to 529k units on initiated

recovery in all markets with sole exception of Italy (-3.2%); Heavy range up +35% in H2 vs. same period last year

• Light : +9.0%

• Medium: -1.5%

• Heavy: +3.5%

Latin America industry at all-time record driven by Brazil (+47%) & Argentina (+51%) but mitigated by poor Venezuelan market (-39%)

Iveco

• Order intake up 38% in WE (Light +28%; Medium +40%; Heavy +107%)

• Company and dealer inventory levels for new & used vehicles well below WE industry average on the back of structural improvements in supply chain management

• WE share at 13.2% impacted by performance in Heavy segment due to earlier de-stocking actions and price recovery vs. competition

• FY ‘11 expectations WE market recovery to continue across segments with Light

+5% and Medium/Heavy +10%

LA industry to stabilize over 2010 peak levels with Brazil and Argentina continuing to perform well


China

FY 2006 FY 2007 FY 2009

20

10795

FY 2010

141

92

FY 2008

Unconsolidated sales [k/units]

Brazil

Iveco registrations [k/units]

• Favorable economic environment supported by Government incentives and infrastructure investment programs

• Share gains on competitive product offering across segments and a dealer network now restructured Strong performance of New Eurocargo /Tector family in

Medium segment (+1.1 p.p. share)

Share gains in Q4 in Heavy segment (+0.6 p.p. to 12.5%) driven by new models (Stralis NR and Cursor)

3.35.3

10.9 9.8

15.44.0%

5.2%

8.5% 8.4%9.0%

FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Iveco (Trucks)Focus on China & Latin America

3

• Continued strong market, up 35% to 3.3mn units in 2010

• Iveco FY unconsolidated sales up 32% to 141k units Light +26%, Medium & Heavy +56% and Light Bus +28%

• Growing importance for serving int’l markets Export volumes up 8% vs. 2009 driven by Latin America and

8 new markets in Africa, Middle East & Asia

• Investment income of €15mn in 2010, recognized under equity method


• FY revenue up 52.8% to €2.4bn on strong volume recovery from 2009 lows

Engines up 58.1% to 423k

Gearboxes up 25.0% to 66k units & axles up 32.1% to 139k units

Sales to 3rd parties and JVs accounted almost a third of total sales

• A €196mn swing in trading profit to €65mn on strong volume increase and manufacturing & material efficiencies

• Other key achievements

Successfully launched new high performance version of Cursor 13 for AG application, equipped with twin-stage turbo common rail engine (max 660hp output) and FPT proprietary SCR technology

Consolidated leadership position as powertrain supplier for marine endurance competitions

• Showcased in Q4 new 650hp C90 engine for marine applications with start of production in early 2011

FPT Industrial (Industrial & Marine)4

DOC

COHC

PMNOx

H2O

N2

CO2DPF SCR

Urea

DOC: Diesel Oxidation CatalystDPF: Diesel Particulate Filter

EGR: Exhaust Gas RecirculationSCR: Selective Catalytic Reduction

Proprietary SCR technology

• Euro 6 standards compliant without EGR, maximizing fuel economy

• Very high NOx conversion efficiency (>95% vs. 80-85% of best peers)


• 2011-14 plan confirmed• 2011 targets Revenues of ~€22bn

Trading profit of €1.2-1.4bn

Net Income ~€0.6bn

Capital expenditures of ~€1.4bn

Net industrial debt between €1.8 and 2.0bn

• Dividend policy for 2011, a transition year, is expected to remain unchanged, with expected payout range of 25% of consolidated income with a minimum payout of €100mn The Board of Director will articulate a dividend policy for later years within 2011

As per Apr 21, 2010 Plan(€bn) 2011E 2012E 2013E 2014E

Revenues 22 24 27 29

Trading Profit 1.2-1.4 1.9-2.1 2.5-2.8 3.2-3.4

Industrial EBITDA 1.9 2.6 3.3 4.1

CAPEX 1.4 1.4 1.4 1.3

OutlookFiat Industrial

5


Appendix


Group net debt breakdown(€bn)

Sept. 30, ‘10 Dec. 31, ‘10

Cons. Ind. Fin. Cons. Ind. Fin.

29.7 15.5 14.2 Gross Debt* 31.0 17.0 14.0

(0.1) (0.1) - Derivatives M-to-M, Net (0.2) (0.2) -

(12.9) (11.4) (1.5) Cash & Mktable Securities (15.9) (14.4) (1.5)

16.7 4.0 12.7 Net Debt 14.9 2.4 12.5

* Net of intersegment receivables


Net debt breakdown(€bn)

Dec. 31, ‘10 Dec. 31, ‘10

Cons. Ind. Fin. Cons. Ind. Fin.

15.2 12.7 2.5 Gross Debt* 15.8 4.3 11.5

(0.3) (0.3) - Derivatives M-to-M, Net 0.1 0.1 -

(12.2) (11.9) (0.3) Cash & Mktable Securities (3.7) (2.5) (1.2)

2.7 0.5 2.2 Net Debt 12.2 1.9 10.3

* Net of intersegment receivables and including:

(2.8) (2.8) -Net Intercompany debt /

(receivables) between Fiat and Fiat Industrial

2.8 1.8 1.0


Fiat post-demerger & Fiat IndustrialFY ‘10 Cash Flow

(€mn)Fiat post Fiat Fiat Group

demerger Industrial pre-demerger

Net Industrial (Debt)/Cash beginning of period

(3,103) (1,315) (4,418)

De-merger debt allocation 2,521 (2,521) 0

Adj. Net Industrial (Debt)/Cash beginning of period

(582) (3,836) (4,418)

Net Income 222 378 600D&A (excl. Vehicle Buybacks) 2,184 662 2,846Change in Funds & Others 201 351 552Cash Flow from Op. Activities bef. Chg. in W.C.

2,607 1,391 3,998

Change in Working Capital 893 993 1,886

Cash Flow from Operating Activities 3,500 2,384 5,884Tangible & Intangible Capex (excl. Vehicle Buybacks)

(2,859) (871) (3,712)

Cash Flow from Operating Activities net of Capex

641 1,513 2,172

Change in Investments, Scope & Other (172) 114 (76)

Net Industrial Cash Flow 469 1,627 2,096

Capital Increase/ Dividends (*) (545) 307 (238)

FX Translation Effect 116 2 118Change in Net Industrial Debt 40 1,936 1,976

Net Industrial (Debt)/Cash end of period

(542) (1,900) (2,442)

(*) Includes dividends, capital increases and scope between Fiat post-demerger and Fiat Industrial Group not related to the demerger


Group gross debt(€bn)

OutstandingSept. 30, ‘10

OutstandingDec. 31, ‘10

21.9 Cash Maturities 22.0

8.9 Bank Debt 9.011.3 Capital Market* 11.31.7 Other Debt 1.7

7.6 Securitization and Sale of Receivables (on book) 8.9

5.2 ABS / Securitization 6.30.7 Warehouse Facilities 0.51.7 Sale of Receivables 2.1

0.2 Adjust. for Hedge Accounting on Fin. Payables 0.1

29.7 Gross Debt 31.0

12.9 Cash & Mktable Securities 15.9

0.1 Derivatives Fair Value 0.2

16.7 Net Debt 14.9

0.0 Available Committed Lines 0.0

*Excluding Bond fair value, including interest accruals


Fiat post-demerger – Debt maturity schedule1

(€bn)

OutstandingDec. 31, 2010 2011 2012 2013 2014 2015 Beyond

5.0 Bank Debt 1.7 1.7 1.0 0.3 0.2 0.1

9.1 Capital Market2 2.9 1.5 1.0 1.2 1.5 1.0

1.5 Other Debt 1.0 - 0.1 0.1 - 0.3

15.6 Total Cash Maturities 5.6 3.2 2.1 1.6 1.7 1.4

13.2 Cash & Mktable Securities

- of which ABS related

3.5 Sale of Receivables (IFRS de-recognition compliant)

2.4 of which receivables sold to financial services JV (FGA Capital)

1 Including impact of repayment of €2.8bn intercompany receivables by Fiat Industrial and reimbursement of €1.7bn credit facilities in January 20112 Excluding Bond fair value, including interest accruals


Fiat Industrial – Debt maturity schedule1

(€bn)

OutstandingDec. 31, 2010 2011 2012 2013 2014 2015 Beyond

5.1 Bank Debt 1.1 2.8 0.8 0.2 0.1 0.1

2.2 Capital Market 2 - 0.1 0.8 - - 1.3

0.2 Other Debt 0.2 - - - - -

7.5 Total Cash Maturities 1.3 2.9 1.6 0.2 0.1 1.4

3.7 Cash & Mktable Securities

0.7 of which ABS related

2.0 Undrawn committed credit lines (maturity 2014)

1.1 Sale of Receivables (IFRS de-recognition compliant)

0.4 of which receivables sold to financial services JV (Iveco Finance Holding Ltd)

1 Including outstanding and cash maturities of credit lines made available to Fiat Industrial in January 2011 and utilized to repay intercompany debt to Fiat post-demerger (€2.8bn)

2 Excluding Bond fair value, including interest accruals


Group financial charges breakdownFY ‘10 vs. ‘09

Average Outstanding

(€bn)

Rate/Spread(%)

Net Charges (€mn)

2009 2010 Chg

Net Industrial Debt FY ’10 (3.9) 5.3% (206)+102

Net Industrial Debt FY ’09 (5.6) 5.5% (308)

“Cost of Carry” FY ’10 (11.8) 3.5% (413)(206)

“Cost of Carry” FY ’09 (5.9) 3.5% (207)

Equity Swap (hedging stock option plans) 117 111 (6)

IAS 19 (interest cost on pension & OPEB) (160) (125) +35

Indirect taxes on banking transactions (South America)

(27) (24) +3

Others (fees, FX, interest cost on long-term provisions, discount of certain receivables...)

(168) (248) (80)

NET FINANCIAL CHARGES (753) (905) (152)


FY ‘10Revenues & trading profit

(€mn) FY ‘10 Change 2010/2009Cons. Industrial Financial Cons. Industrial Financial

RevenuesFiat post-demerger 35,880 35,676 270 3,196 3,145 80of which

Automobiles 30,130 29,906 270 1,779 1,716 80FGA 27,860 27,662 242 1,567 1,511 74

Ferrari 1,919 1,893 28 141 134 6Maserati 586 586 - 138 138 -

Components 10,865 10,865 - 2,076 2,076 -Others & Elim. (5,115) (5,095) - (659) (647) -

Trading profitFiat post-demerger 1,112 1,047 65 376 352 24of which

Automobiles 934 869 65 215 191 24FGA 607 551 56 137 116 21

Ferrari 303 294 9 65 62 3Maserati 24 24 - 13 13 -

Components 249 249 - 160 160 -Others & Elim. (71) (71) - 1 1 -


FY ‘10From trading profit to net result

(€mn)

*Financial charges, net include: gain of €111mn on two stock-option related equity swaps (gain of €117mn in FY ‘09)

FY2010 2009 ∆

Trading profit 1,112 736 +376


Operating income 992 378 +614Financial charges, net* (400) (352) -48Investment income, net 114 77 +37

Pre-tax result 706 103 +603

Taxes (484) (448) -36

Net result 222 (345) +567


Fiat Group AutomobilesRevenues & trading profit

Revenues (€mn)

Trading Profit (€mn)

1,766 1,697 1,980

2,234 2,153 2,151 2,082

• Revenues up 6% notwithstanding volumes decline due to favorable mix & FX

impact (+0.5% at constant rate)

Passenger cars down 8.2% to 1.691k

LCVs up 27.1% to 390k

• Integration of sale and service activities in Europe of Chrysler, Jeep® and

Dodge branded products on track

• Overall sales reduction of 3.2% driven by Italy & Germany, partially offset by

Latin America and recovery in many EU countries

Italy down 13% to 626k, Germany down 40% to 108k, UK down 11% to 66k, France up 5%

to 121k, Spain up 48% to 37k

RoE up 10% driven by The Netherlands & Belgium

• Strong sales in Brazil, with Q4 exceeding 200k units for the 2nd quarter in a row

5,600

FY ‘09 FY ‘10

6,840

Q2

Q1

Q3

Q4

7,350

6,550

7,120

6,905

6,541

7,247

(30)

FY ‘09 FY ‘10

153

Q2

Q1

Q3

Q4

185

130

139

155

155

190 (16.1)%

19.4%

n.a.

(26.8)%

0.1%

6.4%

22.1%

(1.8)%

FY’04 FY’05 FY’06 FY’07 FY’08 FY’09 FY’10

Unit Sales (x000)


Fiat Group AutomobilesTrading profit variance & margin

(€mn)

(20)(130)

(85)

82

470

(14)

210

94607

FY '09 Volume Price & Mix

Purchasing Net

Production Cost Absorp.

SG&AR&D FY ‘10Other

1.8%

2.2%

• Overall volumes down ~82k units (ex

Chrysler Group product distribution)

Robust increase in LCVs volumes (+27%)

unable to offset volume decline in passenger

cars

• Improved mix in LA, LCVs, & Alfa Romeo

Giulietta more than countered by

unfavorable mix (CNG & LPG) in passenger

cars

• Purchasing savings above expectations

• WCM efficiencies more than offset by under

absorption In Italian plants

• R&D spending in line with product

schedule

• SG&A mainly driven by higher advertising

spending to support new product launches

(Giulietta, New Doblò & Novo Uno)


Fiat Group AutomobilesQ4 ‘10 market & market share (ex Ferrari & Maserati)

Unit %

Units 000 2010 2009 Change Change

EU27 Market 3,214.4 3,528.3 -313.8 -8.9%

Registrations 217.3 292.0 -74.7 -25.6%

Mkt Share % 6.8% 8.3% -1.5

Italy Market 416.5 546.9 -130.4 -23.8%

Registrations 118.7 172.4 -53.7 -31.1%

Mkt Share % 28.5% 31.5% -3.0

Germany Market 749.4 816.4 -67.0 -8.2%

Registrations 18.8 28.0 -9.2 -32.9%

Mkt Share % 2.5% 3.4% -0.9

France Market 594.2 658.4 -64.2 -9.8%

Registrations 21.3 26.6 -5.2 -19.6%

Mkt Share % 3.6% 4.0% -0.4

U.K. Market 395.2 478.0 -82.8 -17.3%

Registrations 12.0 20.0 -8.0 -40.1%

Mkt Share % 3.0% 4.2% -1.2

Spain Market 196.0 276.3 -80.3 -29.1%

Registrations 5.3 7.1 -1.7 -24.2%

Mkt Share % 2.7% 2.6% 0.1

Poland Market 100.5 81.3 19.2 23.6%

Registrations 7.1 7.4 -0.2 -3.2%

Mkt Share % 7.1% 9.1% -2.0

Brazil Market 780.3 657.0 123.2 18.8%

Registrations 170.2 161.5 8.7 5.4%

Mkt Share % 21.8% 24.6% -2.8

Passenger Cars Q4 Unit %

Units 000 2010 2009 Change Change

EU27 Market 430.1 390.2 39.9 10.2%

Registrations 51.28 48.17 3.1 6.5%

Mkt Share % 11.9% 12.3% -0.4

Italy Market 48.5 50.5 -2.0 -3.9%

Registrations 20.6 20.5 0.1 0.5%

Mkt Share % 42.4% 40.5% 1.9

Germany Market 74.2 58.5 15.7 26.8%


Mkt Share % 8.5% 9.0% -0.5

France Market 111.0 103.6 7.4 7.1%


Mkt Share % 7.4% 7.1% 0.3

U.K. Market 55.8 45.8 10.0 21.9%


Mkt Share % 3.3% 3.5% -0.2

Spain Market 28.9 30.0 -1.1 -3.8%


Mkt Share % 9.1% 8.7% 0.4

Poland Market 11.8 10.2 1.6 15.7%


Mkt Share % 26.2% 29.1% -2.9

Brazil Market 180.1 140.8 39.3 27.9%

Registrations 42.2 32.8 9.5 28.9%

Mkt Share % 23.4% 23.3% 0.1

Light Commercial Vehicles Q4


Fiat Group AutomobilesFY ‘10 market & market share (ex Ferrari & Maserati)

Passenger Cars FY Unit %Units 000 2010 2009 Change Change

EU27 Market 13,785.7 14,499.1 -713.4 -4.9%Registrations 1,034.9 1,248.9 -214.0 -17.1%Mkt Share % 7.5% 8.6% -1.1

Italy Market 1,960.3 2,159.5 -199.2 -9.2%Registrations 589.2 707.6 -118.4 -16.7%Mkt Share % 30.1% 32.8% -2.7

Germany Market 2,916.3 3,807.2 -890.9 -23.4%Registrations 88.3 179.4 -91.1 -50.8%Mkt Share % 3.0% 4.7% -1.7

France Market 2,251.7 2,302.4 -50.7 -2.2%Registrations 89.1 98.9 -9.7 -9.9%Mkt Share % 4.0% 4.3% -0.3

U.K. Market 2,030.8 1,995.0 35.8 1.8%Registrations 61.9 69.4 -7.5 -10.8%Mkt Share % 3.0% 3.5% -0.5

Spain Market 982.0 952.8 29.2 3.1%Registrations 29.4 23.9 5.5 23.1%Mkt Share % 3.0% 2.5% 0.5

Poland Market 333.5 320.3 13.3 4.1%Registrations 27.0 33.0 -6.0 -18.2%Mkt Share % 8.1% 10.3% -2.2

Brazil Market 2,695.4 2,520.2 175.1 6.9%Registrations 611.4 619.0 -7.6 -1.2%Mkt Share % 22.7% 24.6% -1.9

Light Commercial Vehicles FY Unit %Units 000 2010 2009 Change Change

EU27 Market 1,664.5 1,524.0 140.5 9.2%

Registrations 212.7 195.3 17.3 8.9%

Mkt Share % 12.8% 12.8% 0.0

Italy Market 186.7 175.8 10.9 6.2%

Registrations 82.2 72.2 10.0 13.9%

Mkt Share % 44.0% 41.1% 2.9

Germany Market 272.9 239.5 33.4 14.0%


Mkt Share % 10.6% 11.9% -1.3

France Market 423.0 382.2 40.8 10.7%


Mkt Share % 8.5% 8.8% -0.3

U.K. Market 230.9 194.4 36.4 18.7%


Mkt Share % 3.8% 3.7% 0.1

Spain Market 115.8 105.7 10.1 9.5%


Mkt Share % 8.7% 8.6% 0.1

Poland Market 38.6 40.1 -1.5 -3.8%

Registrations 9.72 10.27 -0.5 -5.3%

Mkt Share % 25.2% 25.6% -0.4

Brazil Market 634.6 489.9 144.7 29.5%

Registrations 149.1 118.0 31.2 26.4%

Mkt Share % 23.5% 24.1% -0.6


Fiat Group AutomobilesWorldwide unit sales by region, Cars+LCVs (unit/000)*

Brazil

Italy

EU27 ex Italy

RoW

(1.7)% (7.6)%

0.8%

(9.3)%

(5.6)%

1,595

556514**

3.9%

(25.2)%

(12.1)%

53.5%

1.6%

(13.3)%

(7.3)%

(3.2)%

60.3%

2,1511,568** 2,082**

* Incl. sales w/buyback, excl. JVs and Ferrari & Maserati** Incl. Chrysler Group sales in Europe of 7k units in Q4 and 14k units in FY

62.9%


Fiat Group AutomobilesWorldwide unit sales by brand, Cars+LCVs (unit/000)*

LCV

Lancia

Fiat

Alfa

(1.7)% (7.6)%

30.9%

(9.8)%

(7.8)%

4.0%

1,595 1,568**

556

514**

17.9%

(15.2)%

28.7%

(34.2)%

27.1%

(16.1)%

(9.7)%

2,082**

(3.2)%

2,151

10.2%

* Incl. sales w/buyback, excl. JVs and Ferrari & Maserati** Incl. Chrysler Group sales in Europe of 7k units in Q4 and 14k units in FY


Fiat Group AutomobilesProduction volumes, sales volume & registrations

521521

468527

556612

556 592 600665

542

402465

582 541 582 543 583506 515

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

509530

469502

569600

537571

591631

532

463

525

630

557 565 580

545500

517

485516

460

520

541

579

543

571

564

645

517

428

465

591

539556 532

554

481514

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

RegistrationsUnits sold

Production

Registrations & Sales

WW Passenger Cars & LCV(‘000 units)

2006 2007 2008 2009 2010


ComponentsMagneti Marelli, Teksid, Comau

Trading Result (€mn)

Revenues (€mn)

FY '09 FY ‘10

4,528

578

FY '09 FY ‘10

728

5,402

776

1,023

98

(28)

25(12)

17

Magneti Marelli

• Revenues up 19.3% to €5.4bn reflecting strong performance for LCVs and recovery in the

medium-large passenger car segments

Strong performance in both China and Brazil and significant recovery in NAFTA region, driven by new

product launches; Italy & Poland down as a consequence of overall decline for A- & B-segment cars due

to elimination of government eco-incentives

All business lines recorded an increase in production volumes

• Trading profit up €73mn to €98mn due to increased sales volumes, combined with cost

containment actions and manufacturing efficiencies

Comau

• Revenues up 40.5% to €1bn mainly attributable to operations in China, LA and NA

Order intake of €1.2bn up 70% principally attributable to Powertrain Systems operations in NA and

Service operations in LA

Order backlog of €629mn, up 32% over last year

• Trading loss at €6mn, up €22mn vs. last year largely due to improved performance in Asian

markets and Robotics business

Teksid

• Revenues at €776mn up 34.3% principally due to increase in volumes, severely impacted

by market crisis in 2009

Cast Iron sales up 21.8% driven primarily by growth in components for heavy vehicles, with positive

performance in Mercosur and NAFTA regions, as well as in Europe

Aluminum sales up 15.3%

• Trading profit at €17mn vs. trading loss of €12mn last year

(6)


Fiat Powertrain & FPT IndustrialTrading profit variance & margin

(€mn)

Industrial & MarineTrading profit increase driven by significant volume recovery for all customers and cost

efficiency

(7)162

8

(131)

-

29 4 65

FY '09 Volume/Mix

Price ProductionCost

SG&A R&D FY ‘10Other

(8.3)%

2.7%

Passenger & Commercial VehiclesTrading profit increase driven by LA

volumes and cost efficiency

(15)

4313

104(20)

11 4 140

FY '09 Volume/Mix

Price ProductionCost

SG&A R&D FY ‘10Other

3.1%

3.3%


FY ‘10Revenues & trading profit

(€mn) FY ‘10 Change 2010/2009Cons. Industrial Financial Cons. Industrial Financial

RevenuesFiat Industrial 21,342 20,235 1,379 3,374 3,319 99of which

CNH 11,906 10,920 1,220 1,799 1,755 91Iveco 8,307 8,175 159 1,124 1,123 8Components 2,415 2,415 - 835 835 -Others & Elim. (1,286) (1,275) - (384) (394) -

CNH ($) 15,784 14,477 1,616 1,687 1,694 42

Trading resultFiat Industrial 1,092 969 123 770 774 (4)of which

CNH 755 600 155 418 416 2Iveco 270 302 (32) 165 171 (6)Components 65 65 - 196 196 -Others & Elim. 2 2 - (9) (9) -

CNH ($) 1,001 796 205 531 539 (8)


FY ‘10From trading profit to net result

(€mn) FY2010 2009 ∆

Trading profit 1,092 322 +770


Operating income 1,017 (19) 1,036

Financial charges, net* (505) (401) -104

Investment income, net 64 (50) +114

Pre-tax result 576 (470) +1,046

Taxes (198) (33) -165

Net result 378 (503) +881


Agricultural and Construction Equipment Revenues & trading profit

Revenues (€mn)


2,598

FY ‘09

Q2

Q1

Q3

Q4

FY ‘10

2,575

3,317

2,991

3,023

2,860

2,268

2,381

FY ‘09 FY ‘10

Q2

Q1

Q3

Q4

127

263

215

150

123

6699

49

31.9%

16.0%

(0.9)%

27.0%

+3.3x

+2x

+2.5x

1.5x

• Revenues up 18% (+12% in US$) Positive market conditions in the Americas and RoW regions with

decline softening quarter-over-quarter in Europe• NA up 14%

• WE down 9%

• LA up 57%

• RoW up 15%

• AG revenues up 14% (+8% in US$): growth in demand in all regions but Europe where market continue to improve but remain still weak Global tractor and combine unit deliveries up 8%

• CE revenues up 46% (+39% in US$) on growing demand for new equipment and reduced destocking Wholesale deliveries up 50%

• Light equipment unit deliveries up 51%

• Heavy equipment unit deliveries up 47%

• Trading margin nearly doubled to 6.3% AG margin improved on better pricing and industrial efficiencies

CE margin improved on higher volume, increased capacity utilization and as results of restructuring action taken during last 2 years


Agricultural and Construction Equipment Trading profit variance & margin

(€mn)

Trading profit 2.2x of last year level• Higher volumes and better mix

• Positive net pricing

• Increased production efficiencies for both AG & CE products

(80)

79

201

337

82

154

3.3%

6.3%

755

(18)

FY '09 Volume/Mix Pricing, Net Production Cost

SG&A Other FY‘10R&D


Trucks and Commercial VehiclesRevenues & trading profit

• Revenues up 15.6% to €8.3bn

• Overall volumes up 25% to 130k units By geography

• WE up 17.3% to 78.3k units: Italy stable, Germany

+31.9%, France +22.3%, Spain +40.8% & UK +36.9%

• EE up 41.6 %

• LA up 52.4%

By segment

• Light up 25.3%

• Medium up 51.3%

• Heavy up 27.6%

• Improved profitability driven by continued

recovery of quarterly sales volume in the year Trading margin at 3.3% (+1.8 p.p.)

Revenues (€mn)


FY ‘10

1,694

Q2

Q1

Q3

Q4

2,097

1,978

2,538

1,523

FY ‘09

1,773

1,715

2,172

FY ‘10

3

Q2

Q1

Q3

Q4

50

80

137

15.3%

18.3%

11.2%

16.9%

3.6x

2.8x

n.a.

1.8x

(12)

FY ‘09

22

77

18


Trucks and Commercial VehiclesTrading profit variance & margin

(€mn)

2

(29)

177

105

(7)

26

1.5%

3.3%

270(38)

FY '09 Volume/Mix

Purchasing Prod.Cost

R&D Other FY‘10SG&A

34

Price

• Volumes up 26k units on continued sales recovery of Trucks & Commercial Vehicles

• Focus on cost reduction actions through enhancement of WCM program and savings from component standardization


Trucks and Commercial VehiclesMarket share by region

WE market shareFY ’10

13.9%1 23.8% 8.4%

Change vs. FY ’09 -0.1 p.p. -0.4 p.p. -0.9 p.p.

EE market share FY ‘10

14.1% 29.1% 8.2%

Change vs. FY ‘09 -0.6 p.p. -1.4 p.p. -3.1 p.p.

Brazil market shareFY ‘10

18.1%2 4.0%2 11.9%2

Change vs. FY ’09 -0.1p.p. 1.1p.p. 0.0p.p.

1 2.8-6T at 7,4% (-0.4p.p. vs. last year)2 Brazil: Light 3.5-6T at 24.8% (-2.2p.p.); Medium 6-15.99T at 2.7% (0.2p.p.); Heavy ≥16T at 8.8% (0.9 p.p.)

Light(3.5-6T) Medium Heavy

Light(3.5-7.9T)

Medium(8.0-31T)

Heavy(>31T)

• WE market share ≥3.5T at 13.2% (8.5% ≥2.8T), down 0.4 p.p. reflecting unfavorable market mix and aggressive competition in Heavy segment

• Brazil market share ≥3.5T at 9.0% or +0.6 p.p. on strong performance in Medium segment and share recovery in Heavy in Q4 driven by new products (Stralis NR and Cursor)


Safe Harbor Statement

Certain information included in this document is forward

looking and is subject to important risks and

uncertainties that could cause actual results to differ

materially. The Company's businesses include its

automotive, automotive-related and other sectors, and

its outlook is predominantly based on its interpretation of

what it considers to be the key economic factors affecting

these businesses. Forward-looking statements with

regard to the Group's businesses involve a number of

important factors that are subject to change, including:

the many interrelated factors that affect consumer

confidence and worldwide demand for automotive and

automotive-related products; factors affecting the

agricultural business including commodities prices,

weather, and governmental farm programs; general

economic conditions in each of the Group's markets;

legislation, particularly that relating to automotive-

related issues, agriculture, the environment, trade and

commerce and infrastructure development; actions of

competitors in the various industries in which the Group

competes; production difficulties, including capacity and

supply constraints and excess inventory levels; labor

relations; interest rates and currency exchange rates;

political and civil unrest; and other risks and

uncertainties. Any forward-looking statements contained

in this document are referred to the current date and,

therefore, any of the assumptions underlying this

document or any of the circumstances or data mentioned

in this document may change. Fiat S.p.A. expressly

disclaims and does not assume any liability in connection

with any inaccuracies in any of these forward-looking

statements or in connection with any use by any

third party of such forward-looking statements.

This document does not represent investment advice

or a recommendation for the purchase or sale of

financial products and/or of any kind of financial

services. Finally, this document does not represent

an investment solicitation in Italy, pursuant to

Section 1, letter (t) of Legislative Decree no. 58 of

February 24, 1998, or in any other country or state.


Contacts

Fiat Industrial Investor Relations

Manfred Markevitch

email: [email protected]

website: www.fiatindustrial.com

Fiat Spa Investor Relations

Marco Auriemma

email: [email protected]

website: www.fiatspa.com

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