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TURIN, March 28 (Reuters) - Fiat Auto Chief Executive Giancarlo Boschetti said on Friday he saw production this year at Fiat's battered car unit stable at 1.9 million units, the same level as in 2002.
Boschetti, speaking on the margins of a conference, said the forecasts were based on the European market decreasing by around 1-2 points. He said if the market fell further than that -- whether hit by the impact of the war in Iraq or for other reasons -- forecasts could change.
The group forecast selling 1.3 million Fiat and Lancia brand cars in Europe, 200,000 Alfa Romeo marque vehicles and 400,000 cars in total in Brazil.
"We see selling around 20,000 fewer cars in Europe than we did last year," Boschetti said.
At 1355 GMT, Fiat shares were down 1.7 percent, outperforming the DJ Stoxx European automakers index , which was down 2.5 percent.
Industrial group Fiat posted a record loss last month and unveiled plans to shore up the finances of its loss-making car unit with a five billion euro ($5.38 billion) recapitalisation.
"Fiat Auto is changing not only its skin but also inside, its total behaviour," Boschetti said.