Santander Fca Agreementwxadmin
CONTACTS: Investor RelationsEvan Black800.493.8219InvestorRelations@santanderconsumerusa.com Since the Chrysler contract was signed in 2013, Santander, a member of Chrysler Capital, has received more than $55.5 billion in auto loans and $35.3 billion in leases, according to a SEC submission. Scott Powell, Chief Executive Officer of SC (Photo), said: “We are delighted to have entered into a mutually beneficial agreement that will strengthen our partnership with FCA in the future. Santander Consumer USA Holdings Inc. (NYSE: SC) is a fully-in-service consumer finance company focused on vehicle financing, third-class service and first-class service for our more than 2.7 million customers across the credit spectrum. The company, which began in 1997 with the creation of tempe catch-up contracts, had an average portfolio of assets under management of approximately $54 billion as of March 31, 2019 and is headquartered in Dallas. (www.santanderconsumerusa.com) Santander Consumer USA and Fiat Chrysler Automobiles have updated their private label financing agreement, Santander said on Monday. The lender will make a one-time payment of $60 million to FCA under the revised agreement. “We are pleased to have entered into a mutually beneficial agreement that will strengthen our partnership with FCA in the future,” said Scott Powell, Chief Executive Officer of SC. “This change creates an operational framework for the remainder of our contract and positions us to continue to make FCA successful.” As part of the change, SC will provide a one-time payment of $60 million to FCA. The amendment also ends the july 2018 toll agreement between the parties, under which each party retained its rights, rights and defences, as they existed on April 30, 2018, with respect to Chrysler`s agreement. The toll period began in July 2018, a month after FCA proposed the idea of creating its own prisoner, according to documents submitted to the U.S. Securities and Exchange Commission.
As part of a toll agreement, companies set the statute of limitations when negotiating certain conditions over a period of time. Laurie Kight, senior vice president of communications at Santander Consumer USA, said the toll agreement “prevented the parties from communicating under the existing contract, while we have had ongoing discussions to find a mutually beneficial way forward.” The adjusted performance targets that are part of the revised agreement have not been made available to the public. In 2013, FCA and Santander signed a 10-year financing agreement under which the Chrysler Capital brand was created.