FCA Europe chief quits after losing out to replace Marchionne
Fiat Chrysler Automobiles NV’s European chief has resigned after being passed over to replace ailing Sergio Marchionne as chief executive officer of the group.
The departure of Alfredo Altavilla, chief operating officer for the region, was confirmed Monday by the company in a statement. His exit deprives new Fiat Chrysler CEO Mike Manley of crucial management experience as he tries to steady the ship following the sudden loss of Marchionne, who was forced to relinquish his post of 14 years due to declining health.
Altavilla, 54, was a close aide to Marchionne, having overseen FCA operations across the globe. He was considered one of the three leading candidates for the top job, along with Manley and chief financial officer Richard Palmer. Manley was selected Saturday as the new CEO, ahead of the company’s July 25 results presentation.
Altavilla’s resignation raises the stakes for when Manley addresses investors for the first time Wednesday as CEO. He was already facing pressure to show he was capable of moving the Italian-American automaker forward without Marchionne. He now has the challenge of proving he can unify veteran managers around him and prevent further turmoil in the executive ranks.
Altavilla will stay on until the end of August, the company said. Manley will be interim Europe chief, after taking direct oversight of the North American operations from Marchionne over the weekend. CFO Palmer takes on added responsibility for business development.
Italian news agency Ansa said Marchionne’s condition is “irreversible,” and he is in intensive care in a Zurich hospital following complications from shoulder surgery.
Marchionne is credited with saving both Fiat and Chrysler during his 14-year tenure and raising investor value 10-fold.