Luca Montezemolo resigns

Luca di Montezemolo

Fiat SpA Chairman Luca Cordero di Montezemolo is resigning his position, the automaker announced in Turin, Italy, today. Vice Chairman John Elkann, a great-great-grandson of Giovanni Agnelli, who helped found Fiat in 1899, is expected to move into the top position.

Montezemolo has been chairman since 2004 and he steps down a day before Fiat is to present its five-year business and product plan as the automaker continues to work with partner Chrysler Group LLC.

Montezemolo will remain on the board and continue as chairman of Ferrari, one of Fiat's brands. The 62-year-old started his career with Ferrari in 1973 as manager of the Formula One racing team.

In a press conference in Italy today, Montezemolo explained that the reason for his resignation "was that he had completed the assignment given to him by the core shareholder in May 2004," the automaker said in a statement.