Fiat 500: Driving impressions from the U.K.

Fiat lists some 24 different cars and minivans on the company Web site, and Alfa Romeo, which is owned by Fiat, shows nine more on theirs. There has been a lot of speculation about which, if any, of these models might make it to the United States in the wake of Fiat taking an ownership stake in Chrysler. The only model the new Chrysler has confirmed it plans to bring here is the Fiat 500. Company officials have said the goal is to begin U.S. sales of the 500 in about 18 months, allowing time for government safety and emissions testing. (See "Is there a Fiat in your future?")

A two-door hatchback with retro styling and slightly smaller than a Mini Cooper, the 500 is already a hit in Europe. But Americans know little about this stylish four-seater, and whether it will succeed here is anybody’s guess. Younger Americans will likely not be familiar with Fiat at all, or know that Fiat had a poor reputation for reliability when it pulled out of the U.S market in 1983. And those who owned Fiats (or will admit to owning a Fiat) don’t always have the fondest of memories.

Which?, a U.K. publication that like Consumer Reports does not accept advertising, recently tested a 500 and offered some thoughts from their review to share with our readers. (For the full original test, visit the Which? new car buyer's guide, a premium service.)

In a nutshell, Which? found the 500 to be a decent enough small car, but one best suited for cities. Its small size makes it easy to maneuver and park, but its stiff suspension made for a bumpy ride and testers found it tiring over long distances. They also found engine noise intrusive. The 500 did earn points for its handling, with responsive steering, little body lean, and plenty of grip. Brakes were also very good.

Our Which? counterparts tested a 500 with the most powerful engine available in their market, a gas-powered, 1.4-liter, 100-hp, four-cylinder. Which? recorded 41.5 mpg overall.

Electronic stability control is standard with the 1.4-liter engine, but optional with the 1.2-liter gasoline or 1.3-liter diesel-powered engines. Crashworthiness is a strong suit, and the 500 earned the top five-star rating in European safety testing. Room for two passengers up front is adequate, but limited in the rear— not altogether surprising for a car seven inches shorter than a Mini.

Unfortunately, Fiat reliability remains an area of concern. Like Consumer Reports, Which? conducts an annual reliability survey of car owners--the largest of its kind in the U.K. Their methods differ from ours, and some of the manufacturers and models are different, but Fiat, overall, ranks 35th out of 38 manufacturers. Because it is a relatively new model, there is insufficient data on the 500 for our colleagues to make a determination on its reliability. The larger, less expensive Panda on which it is based gets an average rating. (See "Chrysler and Fiat reliability – Merger of equals?")

We look forward to testing a 500, and we’ll keep you posted as its U.S. debut approaches. Let us know what you think of the 500, or would like to see in a U.S.-spec model.

—Jim Travers

Consumer groups seek warnings on used Chrysler vehicles

A group of five consumer groups is calling for window stickers warning potential buyers of Chrysler vehicles built before the carmaker’s May 30th bankruptcy. The sticker would point out that the company will not be liable if passengers are injured or killed in an accident caused by safety or manufacturing defects. Consumer Action, Center for Auto Safety, Center for Justice and Democracy, Consumers for Auto Reliability and Safety, and National Consumers League sent a letter to the Federal Trade Commission petitioning for this disclosure.

Under the bankruptcy agreement, the new Chrysler was absolved of any responsibility for vehicles built before the government-aided restructuring. An estimated 30 million such vehicles are still on the road. The consumer groups claim thousands of injuries will likely be caused by defective models. Chrysler opposes the stickers.

The new Chrysler will back vehicles built after Fiat took a significant stake in the company. The consumer groups argue that without the stickers, two identical models could be sitting next to one another on a dealer lot, one with consumer protection and one without.

The petition is being reviewed by the Federal Trade Commission. FTC action would require changes in the Used Car Rule of 1984. As the consumer groups explained: “The Used Car Rule is intended primarily to prevent oral misrepresentations and unfair omissions of material facts by used car dealers concerning warranty coverage. To accomplish that goal, the Rule provides a uniform method for disclosing warranty information on a window sticker called the ‘Buyers Guide’ that dealers are required to display on used cars.”

An agency spokesperson said the rule-making process could take more than a year.

—Jim Travers

American Personal Picks: July 4th Edition

To celebrate the 4th of July, the Consumer Reports Autos team put together its patriotic personal picks focused on the American-brand models they would most like to own. Or, imagine that you’ve just accepted a new job with great pay and benefits, including a new car. However, you employer insists that it be an American-branded car. So we asked which one would you choose and why?

Car type and price were left wide open, giving the engineers and editors freedom to choose from the broad model pantheon from Chrysler, Ford, and General Motors. Interesting, many of the same vehicles were repeated throughout the picks.

Read on to see the red, white, and blue selections here, and comment below with your own choices this holiday weekend. For a more official take, see our post “Consumer Reports American Top Picks 2009.” 

Jeff Bartlett: For a practical choice, I would zero in on the Ford Fusion—A well-mannered, fuel-efficient sedan that is a terrific value and practical choice, made more appealing with its 2010 update. Beyond that, I see precious little from the Detroit 3 that would appeal to my below-$25,000 sensibilities. I favor a hatchback for versatility and prize personality. Not much meets that description from Detroit.

However, were gasoline once again cheap as water, the Chevrolet Camaro SS would be a slam dunk. It is a 30-year dream realized, almost. I have long wanted a first-gen Camaro reinvented with a modern chassis, powertrain, and safety features. But having driven it, I find I also want head room, rearward visibility, and more polished interior. Still, the new model drives as good as in my fantasy, looks stunning, and has terrific power. Should I trip over a lottery ticket or leprechaun, it would be a Corvette in the driveway, again. The Z06 and ZR1 deliver exotic-car performance in an all-American sports car, though I would choose the new Grand Sport version. The name alone conjures a legendary heritage. This special-edition has Z06 appearance elements and brakes, distinctive trim details, and a more-than-adequate 436-horsepower LS3 V8. Yeah, that’d be it.

David Champion: I would choose the Ford Fusion, Flex or Chevrolet Traverse. The Fusion’s top-notch reliability is a real breakthrough for a domestic brand and the car is fun to drive. The Flex is just the right size to carry either people or cargo—it’s comfortable and quiet and makes for a great road-trip vehicle. If I were in the market for a three-row SUV, the Traverse would be on my list for its ability to handle a variety of duties, plus its ride and handling are impressive for its size. But its sibling’s first-year reliability has been very disappointing.

Eric Evarts: If I could afford a $40,000 entry-level luxury sedan, there’s no better example on the market in my book than the new Cadillac CTS. It’s quicker than a BMW, handles as well, has more room inside, and looks wicked. While earlier CTS’s had cheesy-looking and poorly laid out interiors, the new one’s feels rich, and much warmer, more practical, and easy to use than European equivalents. Even better, I could get it with all-wheel-drive to get home from work up my hill in a snowstorm. (In fact, my neighbor did.) Even the automatic transmission that comes with the all-wheel-drive model is smooth, crisp, and responsive. So it doesn’t feel like a sacrifice.

But you don’t have to spend $40,000 to get a great American car. I prefer the new Chevrolet Malibu and the Ford Fusion to the Toyota Camry and the new Honda Accord, which both feel too big to me—even if I really like the VW Passat better than any of them.

Mike Leung: For me, I like the Cadillac CTS-V and Chevrolet Corvette. They’re stylish and fun to drive. Although the practical side of me would also go for the standard CTS, which is less fun to drive, but it has a very nice interior and is still quite stylish.

Tom Mutchler: A dream of mine is to get a 25-foot Airstream along with a pickup truck as a tow vehicle. Starting out with a smaller RV for now, I picked up a used T@B teardrop trailer, choosing our 2009 Chevrolet Silverado to go get it. We put 1,400 miles in three days on that truck and found it to be a comfortable and easy-to-live-with travel companion. Sure, a loaded Avalanche or a GMC Sierra Denali would be sweet, but a “modest” Silverado remains a very nice truck. I want one.

But a truck isn’t exactly what I want for a daily driver. Lots of domestic cars qualify. The Chevrolet Malibu is one of my favorite family sedans; I’d take a four-cylinder LT over the stiffer-riding LTZ. We found that the four-cylinder Malibu’s fuel economy beat the four-cylinder Accord and Camry in our tests, and I find the Malibu more stylish than the Ford Fusion/Mercury Milan. If I got a management job, maybe I could swing a Cadillac CTS—a very appealing sports sedan.

Finally, I’ve come very close—more than once—to buying a Ford SVT Contour or Focus. Both were tremendously satisfying driver’s cars. There isn’t really anything in Ford’s domestic fleet that currently qualifies, but I’m looking forward to the upcoming European-based Fords. Even the Transit Connect has steering feel that rivals some sports cars…

Mike Quincy: I’ve grown very fond of the new Dodge Ram pickup truck. It’s quieter inside than a congressional hearing on Wall Street bonuses. But the Ram’s open bed isn’t secure like the Chevrolet Avalanche’s – another truck I love. Tough call between these two. But these vehicles are all work, and I have to weigh in on stuff for play. The Chevrolet Corvette is often my answer to the question “If you could have ANY car, which one would it be?” Corvettes of various generations and horsepower ratings have accompanied me on trips from Boston to Washington, D.C. The combination of awesome power, secure handling and tolerable ride is amazing. I’ve often said that if GM put as much effort into the rest of its line as it so obviously has with the Corvette, it would rule the world. I’m also a big fan of the fun to drive Ford Mustang GT. I love its looks and distinctive V8 rumble, and I’ve enjoyed driving our recently acquired ’09 GT.

Gabe Shenhar: I think the Ford Fusion SEL V6 makes for a good family sedan. Even though it’s based on the previous-generation Mazda6 and is built in Mexico, it qualifies as American by most definitions. The Fusion steers and handles well with a nice ride. For a larger sedan, I’d take the Pontiac G8 GT. I love this car. With Euro-style ride, handling and braking and some rough-and-tumble American muscle, this Aussie import is exactly what the British would call a Q-car – an incognito fierce performance machine. If my budget allowed me to go more upscale, I’d be happy with a Cadillac CTS. This home-grown Detroiter looks gorgeous and drives almost as beautifully as a BMW 5 Series. And I personally think it steers better than an Infiniti G37. The larger Cadillac STS has even more comfort, quietness and roominess thrown in, yet is still a solid, enjoyable drive.

For SUVs, I’d look at the Jeep Grand Cherokee Limited 4.7, really one of Chrysler’s only worthy models. It has a character, looks and the off-road ability befitting a Jeep. And yet, it’s brisk and fairly capable on the road with some handling response and decent seats. For a model with three-row seating, I’d choose the Chevrolet Traverse. It’s roomy and drives well. This coach feels solid and quiet without being the Queen Mary II. And I prefer its looks over its three other siblings. In the absence of a domestic minivan, its functionally comes close to that most-efficient suburban vehicle.

Rick Small: I would buy a Ford Fusion, Flex or Edge. These models have a sportier feel than much of their competition and they’re attractive designs to boot. Discounting for these models is prevalent, so you can get a good deal. The Fusion and Edge are also reliable. Finally, Ford isn’t taking any bail out money (yet) which means the company should be around for awhile.

Chrysler settles lemon claims for a price

As if buying a lemon isn’t bad enough, Chrysler is now demanding that some customers who settle lemon-law claims forfeit any future legal claims against the company.

That’s the conclusion of several consumer lawyers who have clients with lemon-law claims against the new Chrysler Corp., run by Italian automaker Fiat.

Consumers who take cash settlements for lemon vehicles in lieu of selling the vehicles back to Chrysler are being asked to sign a release that indemnifies Chrysler and its dealerships “from all known and unknown claims, damages, costs, attorneys fees, expenses, loss of services, personal injuries, and property damage.”

Chrysler spokesman Michael Palese says the release is “a very standard waiver that is signed all the time.”

However, according to attorneys whose clients have been asked to sign the waiver, the clause implies that even if a current Chrysler owner who suffers a future accident caused by a defect in the car will have no recourse to Chrysler, according to Norman Taylor, Principal at Norman Taylor and Associates in Glendale, Calif.

Palese denies the form prevents consumers who sign it from taking future legal action against Chrysler. “It doesn’t prevent the signer from taking future action,” he says. “Whoever is reading that is reading the newspaper and is absolutely tripped by the debate about product liability in bankruptcy,” he says.

Taylor says it isn’t clear whether future legal action would be forbidden until a court has a chance to review such a case, but it could be.

In addition, the release asks consumers to certify that their car “is not a lemon, and does not qualify as a lemon under the Magnuson-Moss Warranty Act,” the federal law that establishes consumers’ right to lemon-law protection.

That means when consumers do resell or trade in the car, the title may not be branded as a lemon, according to Clarence Ditlow, Executive Director of the Center for Auto Safety, who is also on the board of Consumers Union, publisher of Consumer Reports. The lemons they bought go right back on the car lot to be sold to some other unsuspecting customer, he says.

“When they [the consumer] keep the car, it’s important for us to declare the car is not a lemon. If we took it [the car] back, it would not reenter the stream of commerce,” Palese says.

If the consumer kept the car, however, nothing would prevent them from trading it in at a non-Chrysler dealership with a clean title.

As part of the bankruptcy settlement, Chrysler agreed to honor lemon law claims for consumers, but this waiver seems to weaken that protection.

We will continue to monitor this fast-moving story, reporting here in the Cars blog and also updating advice and news on the Auto Crisis hub.

—Eric Evarts

Consumer groups object to GM bankruptcy

As expected, today plaintiffs’ lawyers and attorneys general for eight states filed objections to the General Motors bankruptcy, saying it may deny hundreds or thousands of consumers access to due process if they are injured in or by vehicles sold by General Motors before the bankruptcy. (Read: "What does the GM bankruptcy mean to you?")

As in the Chrysler sale, GM’s Chapter 11 filing under “Section 363” of the bankruptcy code would allow the new GM to emerge “free and clear” of any liabilities for its older cars (although the company has said it will honor basic warranties for those cars that still qualify, and the federal government is backing up those warranties during the restructuring.)  In the Chrysler bankruptcy process, certain lemon law claims were protected, while others were not. (Read: "Automaker bankruptcies may limit liability and lemon-law claims."

Critics say that nullifying all lemon-law and product liability claims allows GM to walk away from responsibility for its products and will make second-class citizens of uninformed or poor consumers who drive older GM and Chrysler vehicles. And by avoiding consumer protections that are standard with other automakers, they say it gives consumers a reason to avoid buying GM or Chrysler products in the future.

While there are an estimated 10 million used Chryslers on the road today, the number for GM is as high as 30 million. Sean Kane, CEO of Safety Research and Strategies, estimates that 3,400 more Americans may be injured or killed in GM or Chrysler vehicles in the year after the two companies emerge from bankruptcy.

While both companies would be liable for launching recalls and repairing defects in these vehicles, under current provisions they would not be responsible for injuries caused by those defects. In the Chrysler bankruptcy deal, New Chrysler will take responsibility only for lemon law claims on vehicles produced by the pre-bankruptcy Chrysler within the past five years.

The two companies combined account for a disproportionate number of claims against automakers, 47 percent, while their combined market share is just 38 percent.

To make matters worse, recalls are often based on liability claims filed in court. So if those cases can no longer be filed, there is concern that some defects may no longer trigger recalls.

We hope that as GM moves through the bankruptcy process, legitimate consumer claims do not become casualties of the restructuring.

—Eric Evarts

Read "What does the GM bankruptcy mean to you?" To get more answers to the most common questions and concerns about GM’s bankruptcy, visit our Auto Crisis hub.

Also see the Detroit News report: "Bankruptcy takes away plaintiffs' day in court."

Car brands: Who owns what?

The auto industry is very complicated these days, with constant change across all corners of the globe. The worldwide economic slowdown dictates widespread cost reductions, inspiring partnerships and changes in ownership. Further confusing the scene are past commitments between companies: For example, the new 2011 Jeep Grand Cherokee is based on a Mercedes-Benz platform–even though Chrysler and Mercedes are no longer joined at the hip.

To help clear up some of the confusion, here is a road map to navigate who owns what brands among the major companies that sell in the U.S. car market.

BMW owns: BMW, Mini, and Rolls Royce

Fiat owns: Alfa Romeo, Ferrari, Fiat, Lancia, Maserati; Chrysler, Dodge, Jeep–20-percent stake

Ford Motor Company owns: Ford, Lincoln, Mercury, Volvo (for now), and still owns 13.4 percent of Mazda

General Motors owns: Buick, Cadillac, Chevrolet, GMC. Also owns a controlling interest in Daewoo, as well as Opel and Vauxhall in Europe and Holden in Australia. (Pontiac to be discontinued)

Honda owns: Honda, Acura

Hyundai owns: Hyundai, Kia

Tata Motors (India) owns: Jaguar and Land Rover

Mazda (partially owned by Ford)

Mitsubishi

Daimler AG owns: Mercedes-Benz and Smart

Nissan owns: Nissan and Infiniti (Nissan is owned by Renault--France)

Porsche owns: Porsche and a majority share in Volkswagen

Subaru (A controlling interest of Subaru is owned by Toyota)

Suzuki

Toyota Motor Company owns: Lexus, Toyota, Scion, Daihatsu and Hino Motors, with a stake in Fuji Industries (Subaru’s parent company) and Isuzu

Volkswagen owns: Audi, Volkswagen, Bentley, Bugatti, Lamborghini, and overseas SEAT and Skoda.

In formal negotiations to be sold:
Hummer: Tengzhong (China)
Saturn: Penske Automotive Group
Saab: Koenigsegg (Sweden)

--Liza Barth

Auto news highlights – June 18, 2009

Chinese automaker to buy Volvo
Ford has been right-sizing its corporate portfolio since long before it was fashionable. Aston Martin, Jaguar, and Land Rover have all found new international owners. Now, there are reports that Chinese automaker Geely has signed a deal to purchase Volvo. No formal announcement has been made. [Autocar, The Car Connection]

New auto company to use old GM plant
Backed by investor T. Boone Pickens, V-Vehicle Co. will assemble cars at a former General Motors plant in Louisiana. The project is expected to create over 1,400 direct jobs at an average annual salary of nearly $40,000, plus benefits. VVC will receive a state incentive package worth approximately $67 million. Pickens has been a vocal advocate of wind power and natural gas, suggesting these may be alternative-fueled cars. [Automotive News, Louisiana Economic Development]

Pontiac Vibe production ends in August
The Vibe had been expected to live on as the sole survivor after GM cuts off the Pontiac division, but the company today announced production would cease this August. GM is in talks with Toyota for other uses for the New United Motor Manufacturing Incorporated (NUMMI) facility jointly operated in Fremont, California. The Vibe is the only Pontiac vehicle that is Consumer Reports recommended. [GM]

Chrysler to resume car production
Chrysler had idled its plants as it entered bankruptcy proceedings, immediately reducing costs and vehicle inventory. Now, the new, leaner Chrysler is firing up the factories. First to start was the Conner Avenue Assembly Plant that builds the Dodge Viper, beginning on June 15. The week of June 29th, seven production factories will begin churning out higher-volume Chrysler, Dodge, and Jeep models. (Read: "What the post-bankruptcy Chrysler means to you") [CNN, Chrysler]

Cash for clunkers moves closer to law
The “cash for clunkers” program narrowly escaped Senate today, remaining as part of the approved $106 billion war-funding bill. The House approved the bill earlier in the week, and it is now awaiting President Obama’s signature. [AP, Wall Street Journal, Washington Post]

Turn signals: amber vs. red
A new report from the National Highway Traffic Safety Administration [NHTSA] has found that amber rear turn signals are 5.3 percent more effective than red signals in reducing crashes. The real-world study looked at rear-end crashes where the front vehicle was in the act of turning, merging, changing lanes, or pulling in or out of a parking lot.  [NHTSA]

Consumers drive on the bumpy bankruptcy road

Despite the media onslaught, the average car buyer is relatively removed from the financial machinations behind the Chrysler and GM bankruptcies, though the process does open up new considerations and risks for shoppers. We have received many reader and media queries on the developing auto crisis, and continue to develop our advice and insights.

Bankruptcy hits home with consumers

The most immediate impact is that both corporations have announced plans to reduce the number of franchised dealers. With the remaining dealer network, sales will continue as these companies restructure and resurrect themselves as “new” businesses.

With the automotive giants, we’re driving into uncharted territory, though recent high-profile Chapter 11 filings have involved airlines and retailers and should give hope. Besides some store closings or reduced flight available from certain airlines, these bankruptcies had little direct effect on the average consumer. After all, you can choose to fly with another carrier and shop another big-box store without much imposition. And in some cases, the businesses continued to operate during a restructuring.

Cars are admittedly different. They are a major investment and a product that is depended upon to operate safely and reliably for many years. To purchase a Chrysler or GM product is to invest, and daresay, take a chance, on their future.

The government is backing warranties during the restructuring period, providing comfort to those looking to buy from an American automaker, but what happens when those warranties end? Likewise, what about the suppliers who provide essential components for not just building the cars, but servicing and repairing? Will my dealer survive the economic recession? And is the dealer on GM’s unpublished list of those whose franchise license won’t be renewed? These are valid questions for buyers and current owners, and ultimately they point toward increased consumer risks to be considered by car buyers. (Our auto crisis hub provides guidance on these and other related issues.)

When a company files for Chapter 11 bankruptcy it is a double-edged sword. They can emerge from the process with a clean financial slate, but they have to build back their business. As consumers want to help Chrysler and GM and keep them in business, save jobs, help the economy and the American auto industry, they also have to consider protection for their own transportation investment.

Through this period of turmoil, there are deep discounts that may be tempting. As always, Consumer Reports recommends you do your researching, focusing on cars that perform well in our tests, have average or better predicted reliability, and proven safety performance. Then, look to the deals and consider the factors mentioned here if you are drawn to a Chrysler or GM vehicle.

—Liza Barth  

From the logbook: Volkswagen Routan

School’s almost out and road trip season beckons. And having mapped dozens of trips all around the country, I don’t think there’s anything better to drive than a minivan – especially with kids. These vehicles offer the best combination of seating and cargo-carrying flexibility ever.

One of the newest (well, sort of) models is the built-in-Canada Volkswagen Routan. However, despite the German engineering tag line, this is a merely a Chrysler minivan in disguise. (Some have taken to combining its pedigree and moniker, Chrysler and Routan, into a tasty new name: Crouton.) While Volkswagen made some exterior styling changes, according to the company, most of the money was retuning the suspension and steering. Unfortunately, the van is powered by Chrysler’s noisy and inefficient 3.8- and 4.0-liter V6 engines. (See our Chrysler Town & Country ratings and road test, available to online subscribers. Watch our Chrysler and Dodge minivans video.)

Our SEL model with the 4.0-liter engine rang in at $36,215 before we bargained for some substantial discounts. These vans are not exactly flying off dealer lots, so there’s a lot of room for haggling.

How does it all work? Can VW turn some American iron into European sophistication? Have a look at the book:

“A Town & Country by another name – comfortable ride, but lots of rattles inside with shaky seats and plastic panels.” [But another tester countered, saying the VW was “slightly better than the Chrysler-branded products, but that isn’t saying much.”]

“Feels nothing like a VW.”

“Still has dead steering on center [as well as] loose body control.”

“Feels too bouncy on side roads.”

“Engine has good power and transmission is responsive and smooth.”

“Road and wind noise are quite high.”

“Not comfortable to drive – seat needs more lumbar.”

“Lack of telescope steering wheel makes it tough to find a good driving position.”

“Six adults traveled into and out of Boston and everyone hated the seats.”

“Shifter on dash is awkward – the huge steering wheel blocks the ‘PRND.’”

“Main gauges pick up too many reflections.”

“Some very clunky, plasticy interior components (center console, glove box, etc) – not characteristic of VW.”

“Certainly no Odyssey or Sienna, but the VW treatment benefits the van. Chrysler should adapt the suspension and dash modifications ASAP.”

“Like putting lipstick on a pig.”

In the end, only a few people thought the Chrysler-to-VW transformation works, with a few comments saying that the suspension, steering and brakes are a step-up from Detroit’s original. Most didn’t see where VW supposedly spent money improving the van. We’ll have more on the Routan in an upcoming road test.

—Mike Quincy

Is there a Fiat in your future?

The combined efforts of Fiat and Chrysler could produce some interesting new vehicles in coming years. While it is unlikely we’ll ever see a version of the wee Fiat 500 powered by Chrysler’s fabled Hemi engine like the one shown in accompanying photo, anything, as the saying goes, is possible. (Learn more about the Fiat 500.)

In Italy, the 500 is known as the Cinquecento,  or “Five Hundred” in Italian. Applying the same logic to a Hemi version of the same car would result in something called the Cinquemilllesettecento, (you guessed it, “Fifty-seven hundred”) a name that would be as much of a challenge to fit on a badge on one of the 500’s fenders as it would be to stuff the engine under the hood.

There are some more realistic, and only slightly less intriguing possibilities, however. The Fiat Web site lists some 24 different models, ranging from small, thrifty sedans and hatchbacks to family sedans and mini-minivans. Sportier and more upscale Alfa Romeo, which is owned by Fiat, shows nine more on their site. Although many of these models only score around mid pack when reviewed by the European automotive press when compared to other models in the market place. (See Which? Car on the Fiat Qubo.)

Combined, these storied Italian brands promise a ready stable of varied models, some of which could make good candidates for a Chrysler dealership near you. Others, like the spacious but somewhat odd Fiat Multipla mini/micro-van, might be a little too different for American tastes. But underneath the sheet metal, there are mechanical bits that could accelerate the state of Chrysler’s art.

The new Chrysler has said that the 500 (minus Hemi) will be coming to America in about 18 months, but the company has said little about what to expect after that. There has been speculation that the next generation of the lackluster Dodge Caliber compact and mid-sized Chrysler Sebring and Dodge Avenger sedans will likely be some of the first to benefit from the alliance. Freshly placed Chrysler Group CEO Sergio Marchionne confirmed the deep level of cooperation in a recent letter to employees:

“Over the next several months, we will begin the process of transferring Fiat's technology, platforms and powertrains for small- and medium-sized cars into Chrysler's manufacturing facilities. This award-winning technology will be critical to helping Chrysler round out its product line and give the company a strategic advantage in many markets around the world.”

We bristle at the comment of "award-winning technology," as many of the larger platforms that would be more appropriate for the U.S. market have be panned in Europe and need to be updated. (See the reviews at British automotive Web sites Top Gear and What Car.)

Indeed, Fiat has a long history of building small, fun-to-drive cars with efficient powertrains – something their new partner sorely lacks. Fiat can undoubtedly help Chrysler with that, and at the same time ease compliance with upcoming tighter CAFE fuel mileage requirements - something else Signore Marchionne indicated is underway:

“Work is already underway to develop new environmentally friendly, fuel-efficient, high-quality vehicles, including Chrysler's electric-vehicle program.”

We look forward to seeing and testing future models from the new company, and Marchionne’s remarks would seem to indicate the company is headed in the right direction.

But 18 months is still a long ways off, and Chrysler isn’t out of the woods yet. Both companies have earned low marks for owner satisfaction and reliability, although Chrysler was showing signs of improvement even before the bankruptcy. (Read: “Chrysler and Fiat reliability–Merger of equals?”)

Part of what drove Fiat from the U.S. market in 1983 was its poor reputation for quality, and that reputation remains elsewhere in the world today. Whatever new models are in the pipeline, making an improvement in satisfaction and reliability scores should be a top priority.

—Jim Travers