Italy’s industry minister has said that all options were open for settling the dispute between Fiat SpA and General Motors over the Italian company’s option to sell its auto operations to the US giant.
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According to the Associated Press, minister Antonio Marzano also ruled out the possibility of state aid for the troubled Turin-based company.
“The ball game is wide open” as far as possible solutions go, Marzano reportedly said after a meeting in Rome with Fiat CEO Sergio Marchionne but he did not name any possibility.
AP noted that Fiat said last week it had failed to settle a dispute with GM over the so-called put option – part of a 2000 agreement by which Fiat can force the U.S. automaker to buy the 90% of its ailing auto division that GM does not already own – Fiat claims the option is valid and rejects GM’s claim that the Italian company might have breached the agreement through a recapitalisation of Fiat Auto Holding BV and the sale of a 51% stake in Fiat Auto’s consumer finance division.
Marzano also reportedly said that he told the Fiat management that “the possibility of government intervention does not exist.” He added that the government isn’t considering subsidising incentives to consumers to trade in their old cars for new ones to boost sales.
