MILAN (Thomson Financial) - Fiat SpA said it has signed a memorandum of understanding with the Russian company JSC Autovaz that will pave the way for cooperation opportunities between the two groups in Russia.
Fiat said the agreement is aimed at helping Autovaz expand in the area of passenger cars.
Fiat said its involvement in the development of the Fiat brand in Russia based on previous agreements with other parties remains firm and is not affected by this MoU.
The two companies said they expect to sign definitive agreements in coming months.
'Cooperation with Autovaz represents a significant step forward in our industrial strategy of targeted alliances,' said Fiat CEO Sergio Marchionne.
'It is our view that Autovaz will re-emerge as a strong automotive player in a market that is showing significant growth potential,' he said. stephen.jewkes@thomson.com sj/ak COPYRIGHT Copyright Thomson Financial News Limited 2007. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
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