Fiat Signs Agreement to Acquire Zastava, Readies 500 Based Topolino Successor

The Fiat Group is one step away from acquiring Zastava as the Italian carmaker and the Serbian Ministry of Economy and Regional Development (Zastava is 99.9 percent-owned by the government) signed a memorandum of understanding (MoU) for the acquisition of the assets of the Zastava plant at Kragujevac, 140 km South-East of Belgrade. According to a joint press release, if deemed feasible, the two companies will enter into a definitive agreement in the course of the coming months.

Sources familiar with the Italian carmaker's plans told Automotive News Europe that the former Zastava plant in Serbia will become the sole factory to build Fiat's new minicar, dubbed Topolino after the iconic 1936 model that led to the 500 in the mid 1950’s. The modern Topolino, expected to be introduced towards the end of 2009, will be based on the 500 / Panda platform, shortened though to about 3,150 mm in length. -Continued

Commenting on the agreement between Fiat and the Serbian government, Sergio Marchionne, CEO of Fiat Group and Fiat Group Automobiles, said, “This initiative represents a further step in Fiat Group Automobiles’ strategy aimed at supporting its growth and volume aspirations. It follows a number of targeted alliances and partnerships signed with leading carmakers and automotive suppliers over the last four years.”

“Moreover, it demonstrates our confidence and trust in Serbia, its industry, management competence and the skill of its workers, not to forget the Serbian automotive market itself, which we consider an integral extension of our domestic market. 54 years ago, Fiat and Zastava signed an accord for the construction of the factory at Kragujevac where the Fiat Punto is manufactured today”

“We believe that, together with Zastava, we have played an important role in enhancing the Serbian automotive industry from both the manufacturing as well as the technological point of view. We are proud that many Serbian engineers and technicians have been trained at Fiat in Italy and in Serbia.”

Volkswagen Considering Buying Serbian Carmaker Zastava

According to Germany's Handelsblatt newspaper, Volkswagen AG is looking into buying the Serbian state-owned carmaker Zastava in order to gain additional production sites in Eastern Europe. Although the newspaper says that VW representatives visited a Zastava plant in Serbia ahead of the Easter holidays, a spokesman for the German company told Handelsblatt that Volkswagen has not yet decided whether to bid for the carmaker. Zastava is currently 99.9 percent-owned by the Serbian government, which aims to sell 98.8 percent of shares according to the report.

ebay: A Yugo that’ll make you Laugh Out Loud!

Do you think a car is only a machine? That it doesn’t have feelings and it can’t laugh or cry? If you do, then you’re WRONG! This car, which is sold on e-bay, proves that there’s an exception to every rule. For those of you who are debating whether or not I’m in my sober state please look carefully to the car’s plates where it says: “LOL”, which in cyber-world translates to Laughing Out Loudly.

Let’s be fair, buying this Yugo has its pros and cons. There are some things you may not know about these cars, so better look up the FAQ’s (follow the jump) list before you invest in this beast. And don’t forget that Yugo will be introducing three new vehicles next year which include a single-seater called "I Go", a family sedan named "We Go" and a station wagon called the "Y'all Go". Yes, quite the originality, but trust us, those new models won’t affect the price of this Yugo! -Continued after the jump

Posted by Chris

FAQ

Q. How do you double the value of a Yugo?
A. Fill the Tank

Q. What do you call a Yugo at the top of a hill?
A. Miracle

Q. How do you make a Yugo accelerate from zero to 60 mph in less than 15 seconds?
A. Push it off a cliff.

Q. What is found on the last two pages of every Yugo owner's manual?
A. The bus schedule.

Q. What did the parts dealer say when the customer said, "I'll take a set of wiper blades for my Yugo"?
A. "Sounds like a fair trade to me."

Q. Why do Yugos come with heated rear windows?
A. To keep your hands warm while you're pushing them

Q. What do you call a Yugo with brakes?
A. Customized.

Q. How do you make a Yugo go faster downhill?
A. Turn off the engine.

Q. What do you call Yugo passengers?
A. Shock absorbers

Q. How do you improve the appearance of a Yugo?
A. Park it between two 914s.

Q. Why do Yugo owners never carry a map?
A. It'll never get far enough to get lost!

Q. What's the difference between a Yugo and the principal's office?
A. It's less embarrassing if your friends see you leaving the principal's office.

Q: What is the sport-version of Yugo?
A: The driver wears Nike shoes.

Q: What do you call a Yugo with twin exhausts?
A: A wheelbarrow

Q: What is the Yugo owner's most ardent wish?
A: To buy a car.

Q: What do you have to do if your Yugo gets in the way of a swarm of killer bees?
A: Stop pushing and take refuge into the car.

Q: What do you call a Yugo with a seat belt?
A: A rucksack

Why were sidewalks invented?
So Yugo owners would have a safe place to walk home.!

Q: How do you make a Yugo go faster uphill?
A: Throw out the passenger.

Link: eBay