Fiat to shut plants as economy, fuel costs hurt sales
ON THE BRINK
The closures will affect factories in Mirafiori, Termini Imerese, Pomigliano and Melfi, a company official said today. The sites employ a total of 22,000 people, or about three-quarters of Fiat Auto's Italian workforce.
Sales in Europe's second-biggest car market fell 19.5 per cent in June, a sixth straight monthly decline, as record oil prices and a slowing economy put consumers off buying. Registrations at Turin-based Fiat declined 16.5 per cent to 60,220 vehicles.
"The production cutbacks show the slowdown is going to have a strong impact on earnings," said who helps manage $24.8 billion at Banque Syz & Co in Geneva. "The slowdown will be harsher and car sales even more disappointing."
Fiat fell as much as 68.5 cents, or 6.6 per cent, to