Italian auto and industrial group Fiat will speed up its restructuring and asset disposals, and might sell Ferrari, to reduce its 6.5bn-euro (�4bn; $5.9bn) debt pile.

The Financial Times reported Fiat was trying cut costs by up to 1bn euros, saving the company 4.5bn euros over the following three years.

But the firm said its core Fiat Auto division would not be sold, contrary to previous reports.

Fiat has an option, which it can exercise in 2004, to sell the remaining 80% of the auto division to General Motors, which paid $2.4bn for a 20% stake two years ago.

But the company is mulling a part-flotation of its Ferrari sports car unit.

The revised plan goes beyond the overhaul announced last December.

Fiat's board will discuss the proposals later this month.