The following factors could affect Italian markets on Thursday.
Reuters has not verified the newspaper reports, and cannot vouch for their accuracy. New items are marked with (*).
POLITICS
Italian President Giorgio Napolitano said on Tuesday that he would stay on the job only as long as he is needed and "not a day more," eight months after breaking a political deadlock by agreeing to serve an unprecedented second term.
ECONOMY
Markit releases December PMI manufacturing (0843 GMT).
Transport Ministry releases December car sales (1700 GMT).
December state sector borrowing requirement data.
COMPANIES
FIAT
Italian carmaker Fiat SpA struck a $4.35 billion deal to gain full control of Chrysler Group LLC, ending more than a year of tense talks that have obstructed Chief Executive Sergio Marchionne's efforts to combine the two automakers' resources.
MONTE DEI PASCHI
The Italian government has urged the troubled lender to complete its planned 3 billion euro cash call and avoid the threat of a state takeover after a stand-off between management and shareholders.
A board meeting scheduled around mid-January will likely be brought forward to Jan. 7 or 9, Il Sole 24 Ore reported on Tuesday.
Banking foundations Cariplo and Cariverona could assess at board meetings after Jan. 7 whether to buy part of the Monte dei Paschi foundation's stake in the bank, Il Sole 24 Ore said on Tuesday. A price of 0.17 euros a share could be the starting point for negotiations, it said citing rumours. Cariverona could use proceeds from a dispute it is trying to settle with state holding CDP to invest in Monte Paschi, the paper said.
The Monte dei Paschi foundation said on Tuesday it had appointed Enrico Granata as its new managing director. * The Bank of Italy has fined former Monte Paschi top executives and board members for a total of 3.5 million euros for failing to inform the regulator and not meeting the minimum overall capital requirement in relation to a convertible bond issued in 2008, the MF said.
FINMECCANICA
India cancelled its $770 million helicopter deal with Italian defence group Finmeccanica's AgustaWestland unit on Wednesday over what it termed a breach of integrity, but agreed to take part in an arbitration process.
ATLANTIA
Italian motorway tariffs will rise by an average of about 3.9 percent on Jan. 1, Italy's Infrastructure and Transport Ministry said on Tuesday. It said tariffs on toll roads operated by Autostrade per l'Italia, the toll road concession subsidiary of Atlantia, would rise by 4.43 percent.
UNIPOL, FONDIARIA-SAI
The merger between Italian insurance groups Unipol and Fondiaria-SAI to create Italy's second-biggest insurer will be effective as of Jan 6, the companies said on Tuesday.
PIRELLI
Unipol has sold its 1.85 percent stake in tyre maker Pirelli, a source close to the matter said on Tuesday.
ERG
The energy company said on Monday it had agreed to sell the ISAB Energy gas-fired power plant in Sicily to Russian oil producer Lukoil for 20 million euros, in another step of its reorganisation plan.
IMPREGILO
Work on the massive Panama Canal extension project may be suspended after a clash between the builders and the Panamanian authorities about $1.6 billion in cost overruns, according to a statement from the building consortium on Wednesday.
The construction company changes its name to Salini Impregilo.
BANCA CARIGE
The lender said on Monday it had signed the sale of Carige Asset Management to asset manager Arca for 101 million euros, boosting its Core Tier 1 capital by around 40 basis points.
INDESIT
Goldman Sachs, an advisor to the white goods maker, will present Indesit a list of possible partners by the end of this month, Il Sole 24 Ore said. The list will then be presented to the company's board in mid-February.
RISANAMENTO
IDeA Fimit has extended to end-March the deadline to launch a binding offer for Risanamento's Santa Giulia development in Milan, Risanamento said in a statement on Monday.
CIR
Austrian energy group Verbund has written down its stake in loss-making Italian company Sorgenia to zero, a spokeswoman said on Monday, confirming media reports.
Milan bourse after hours trading closed.
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