UPDATE 4-Fiat cuts 2013 profit forecast on weak Latin America

Wed Oct 30, 2013 2:03pm EDT
 
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* Cuts 2013 trading profit forecast to 3.5-3.8 bln euros

* Forecast was 4.0-4.5 bln, analysts expected 3.8 bln

* Weak Latam and loss in Europe offset Chrysler profit

* CEO says ready for Chrysler IPO this year

* Shares fall as much as 5 percent (Adding Maserati results, upcoming presentation, more CEO comments)

By Jennifer Clark and Bernie Woodall

MILAN/DETROIT, Oct 30 (Reuters) - Italian carmaker Fiat cut its 2013 profit and sales forecasts on Wednesday as a third-quarter slump in Latin America offset a strong performance at Chrysler, the No.3 U.S. automaker it controls.

Fiat slashed the bottom end of its trading profit forecast to 3.5 billion euros ($4.8 billion) from 4.0 billion euros, below analysts' lowest estimate of 3.65 billion.

Analysts were expecting a poor performance in Brazil, which usually accounts for about a quarter of Fiat's trading profit, because of the strong euro and the end of car sales incentives, but were surprised by the extent of the cut in guidance.   Continued...