Automobile manufacturer Stellantis NV (NYSE:STLA) shares are trading lower in premarket on Monday after making major structural changes to improve decision-making and execution across the company.
Initially shared in December 2024, these adjustments aim to boost future growth by strengthening local decision-making while still ensuring alignment with its global operations. The changes are expected to streamline product planning, development, and commercial efforts.
As part of the changes, Antonio Filosa will broaden his responsibilities as COO of Americas to also lead global Quality, a critical area in Stellantis' dedication to customer satisfaction.
Furthermore, Clara Ingen-Housz will take charge of the newly integrated Corporate Affairs and Communications division, and a new Marketing Office, overseen by Olivier François, will focus on advertising, international events, and brand sponsorships.
Additionally, Stellantis is merging its software operations into a new Product Development & Technology division, led by Ned Curic, aimed at speeding up the creation of innovative products and services for all of Stellantis' brands across various markets.
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Stellantis has also named several key executives to lead specific brands. Bob Broderdorf will assume leadership of the Jeep brand, while Alain Favey joins the company to head the Peugeot brand.
Xavier Peugeot will oversee DS Automobiles, and Anne Abboud will lead the Pro One commercial vehicle division at Stellantis.
"Building on the changes made in December, today's announcements will further simplify our organization and increase our local agility and rigor of execution," said Chairman John Elkann.
In December, CEO Carlos Tavares resigned abruptly amid faltering U.S. sales and looming trade pressures. The process to appoint the new permanent Chief Executive Officer is still under way.
The reorganization comes at a time when President Donald Trump has imposed hefty tariffs on the United States' three largest trading partners, including Mexico, Canada and China which is expected to affect auto sector and potentially erase cost savings for U.S. car companies that have shifted production to Mexico.
Price Action; STLA shares are trading lower by 4.95% at $12.48 in premarket at the last check Monday.
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