Fiat Chrysler names new CEO to replace ailing Marchionne

Fiat Chrysler Automobiles on Saturday named Mike Manley, the head of its Jeep and Ram brands, to replace ailing CEO Sergio Marchionne at the helm of the world’s eighth-largest automaker.

Marchionne had shoulder surgery three weeks ago, and his recovery is taking longer than anticipated because of “unexpected complications that worsened significantly in the recent hours and will prevent his return to work,” Shawn Morgan, a spokeswoman for FCA, said in an interview with FOX Business.

She declined to comment further about Marchionne’s condition, citing privacy concerns for him and his family.

In a statement, John Elkann, the chairman of Exor, wrote that he was “profoundly saddened to learn of Sergio’s state of health.”

“Sergio has always made a difference, wherever his work took him and in the lives of so very many people,” Elkann wrote. “Today, that difference can be seen in the culture that he introduced in all the companies he has led, a culture that has become an integral part of each and every one of them.”

The CEO of FCA since 2004, Marchionne has long said he anticipated stepping down in 2019.

In June, Marchionne presented a five-year strategy for the company, which included a major investment push to produce more electrified cars. Manley will continue to implement that business plan, which he was instrumental in creating, Morgan said.

And as head of the Jeep brand, Manley, a 54-year England native, fostered several years’ worth of record sales for the company and ushered it through a “profound” transformation.

“Mike’s credentials make him a perfect choice for his new role,” Morgan said.