Annex to deal with Fiat signed

Deputy Prime Minister and Minister of Economy and Regional Development Mladjan Dinkic, Fiat Group Vice-President Alfredo Altavilla and Fiat Automobili Srbija CEO Giovanni De Filippis today signed an annex to the Agreement on Joint Investment between Serbia and Fiat, based on which Zastava will become part of the Fiat Group.Photo: Fonet

Following the signing Dinkic said he will issue the motion for the transfer of Zastava’s assets to the joint company Fiat Automobili Srbija.

The Minister announced that the transfer should be completed by December 29, by which time Fiat should also complete the transfer of a portion of its founding capital of around €100 million.

One of the novelties envisaged in the annex is the production of two completely new car models that will be exported to the European and US markets, Dinkic announced.

The production output will be 200,000 vehicles a year, which will bring in around €2 billion from export.

Altavilla noted that President Boris Tadic also played an important role in this matter.

Tadic gave us his support and I am truly grateful to him, Altavilla said and thanked the entire Serbian government as well, especially Deputy Prime Minister Dinkic, for their cooperation and engagement.

Altavilla announced that one half of Fiat’s founding capital of €200 million will be paid by the year’s end and the remaining €100 million during 2010.