Fiat has reported further losses of 25 million euros for the first three months of the year, despite a recovery in the car market.
The Italian car maker will spin off its non-car activities into a separate entity.
Fiat is due to outline a new five-year business plan later, outlining closer integration with its US subsidiary Chrysler.
Redspy managing director Jay Nagley says Fiat is successful in the small car side of the business, but it is weak in the medium and large cars, where profits are larger.
