Sources: Chrysler/Fiat Deal

By: Associated Pres
By: Associated Pres

Three people briefed on the deal say Italian automaker Fiat Group SpA will sign paperwork by Thursday to become a partner with Chrysler LLC.

The partnership is the last piece of a huge restructuring plan needed to keep Chrysler alive. The U.S. government has lent Chrysler $4 billion and gave it until Thursday to get concessions from unions, reduce debt and take on a partner or face liquidation.

The United Auto Workers union is expected to ratify a cost-cutting contract Wednesday night, and major banks have agreed to reduce Chrysler's debt.

The people briefed on the deal say Chrysler could still go into a short bankruptcy if about four dozen smaller lenders don't sign onto the banks' agreement.

The people did not want to be identified because the deal has not been made public.


You must be logged in to post comments.

Username:
Password (case sensitive):
Remember Me:
WILX 500 American Road Lansing, MI 48911 517-393-0110
Copyright © 2002-2016 - Designed by Gray Digital Media - Powered by Clickability 44008192 - wilx.com/a?a=44008192
Gray Television, Inc.