Brand Fiat was one of the pioneers of the European automotive industry.

Operating for more than a century, it has built and sold nearly 100 million passenger cars and light commercial vehicles and its models have been named Car of the Year 12 times. Founded in 1925, Chrysler is a leading U.S. automaker with a tradition of innovation combined with solid engineering that has produced some of automotive worlds most celebrated models. In 2009, the two groups formed an alliance, which in 2011 led to Fiat taking a majority interest in Chrysler. That partnership has brought enormous benefits to both, including the critical mass necessary to achieve large economies of scale and increased production volumes per platform enabling improved returns on investment, as well as the ability to offer a full range of models, by combining Fiats expertise in the smaller car segments with Chryslers know-how in the mid- and full-size segments. Consistent with the operational integration of Fiat and Chrysler, in 2011 the Group established a new organizational structure suited to the global scale of the business, with four operating regions for the mass-market car brands NAFTA (U.S., Canada and Mexico), LATAM (Central and South America), APAC (Asia Pacific) and EMEA (Europe, the Middle East and Africa) and two operating segments with a global remit the first focused on development, production and sale of luxury and performance cars (Ferrari and Maserati) and the second focused on the production and sale of components and production systems for the automotive industry (Magneti Marelli, Teksid and Comau). Sustainability

Our commitment to operating responsibly and promoting a model of sustainable development is part of the tradition and values of Fiat-Chrysler.

Our sustainability strategy is a fully-integrated part of our business model and, in 2012, it continued to provide the impetus for initiatives to meet the diverse and continuously evolving needs of our stakeholders. The integration of Fiat and Chrysler has enabled us to strengthen and further expand the scope of our sustainabilityrelated activities by sharing best practices and leveraging the strengths of each partner.

Our efforts are focused on several key areas including: promotion of increasingly sustainable mobility; protection of the environment and natural resources, including minimizing the environmental impact of production processes; safeguarding the health and safety of employees and encouraging their professional development; and working continually to ensure a mutually beneficial relationship with local communities and our business partners. Each year, we communicate our formal commitment to addressing the needs and expectations of our stakeholders in an open and transparent manner through the Sustainability Report and Sustainability Plan. In 2012, the Group continued to receive recognition from leading rating agencies and other international organizations for its leadership in sustainability.

For the fourth consecutive year, Fiat was included in the prestigious Dow Jones Sustainability Indexes World and Europe, which only admit companies that are best-in-class in terms of economic, environmental and social performance. The Group achieved the maximum score in nearly every area of analysis in the environmental dimension particularly those related to its climate change mitigation strategies and, in the social dimension, it received the maximum score for human capital development and management, occupational health and safety, stakeholder engagement, and corporate citizenship and philanthropy. As further recognition of its efforts in addressing climate change, Fiat was also admitted to the Italy 100 Carbon Disclosure Leadership Index (CDLI) and the Italy 100 Carbon Performance Leadership Index (CPLI), achieving the highest score of all participating companies.

The projects that we were involved in during 2012 and the results achieved are the clearest demonstration of a commitment that has strengthened over time and led to us setting even more challenging targets for the future

Sustainability Plan
Fiat Groups(1) approach to sustainability is based on aligning the companys projects and initiatives to ensure that value is generated responsibly through the incorporation of economic, environmental and social aspects into its business decisions. This approach has led to the creation of a focused and disciplined method for tracking the companys progress toward sustainable development. The Sustainability Plan communicates the Groups progress annually to sta keholders by reporting on the scope of each commitment, the specific actions to be taken, progress toward achievement of the goal during the current reporting year and the target for the upcoming year(s). The Groups sustainability strategy has resulted in a variety of projects related to good corporate governance; environmentally responsible products, plants and processes; a healthy, safe and inclusive work environment; and constructive relationships with local communities and business partners, as these are the milestones along the Groups path of continual improvement oriented to long-term value creation.