Despite several last-ditch efforts, Chrysler LLC will file for bankruptcy today, President Obama said, a move that was strongly threatened last month. The Chapter 11 protection filing will spark a "surgical" reorganization process that will span an estimated 30-60 days, White House officials said..
At the same time, Chrysler will enter into a partnership with Fiat -
which will own 20 percent stake in the company, a figure that could
increase to 35 percent if the new company meets benchmarks intended to
ensure the development of fuel-efficient vehicles.
The government will hold an approximate 8 percent stake in the new company, and will provide up to an additional $8 billion in aid to ensure Chrysler survives the historic reorganization process.
It's unclear what will happen with Chrysler's OEM partnership with Sirius XM.
White House officials said that vendors will continue to be paid in an orderly course during the Chapter 11 proceedings. But under bankruptcy protection, agreements can quickly be amended for at more appealing rates.
That's one of the reasons why Chrysler needs to file.
Under Chapter 11, Fiat can more easily clear out hundreds of auto dealers from its sales network. An undisclosed number of Chrysler dealers will be eliminated as a result of this restructuring, officials said.
One silver lining: Officials ruled out the possibility that Chrysler could end up being liquidated and sold off in pieces.
[Wall Street Journal]
The government will hold an approximate 8 percent stake in the new company, and will provide up to an additional $8 billion in aid to ensure Chrysler survives the historic reorganization process.
It's unclear what will happen with Chrysler's OEM partnership with Sirius XM.
White House officials said that vendors will continue to be paid in an orderly course during the Chapter 11 proceedings. But under bankruptcy protection, agreements can quickly be amended for at more appealing rates.
That's one of the reasons why Chrysler needs to file.
Under Chapter 11, Fiat can more easily clear out hundreds of auto dealers from its sales network. An undisclosed number of Chrysler dealers will be eliminated as a result of this restructuring, officials said.
One silver lining: Officials ruled out the possibility that Chrysler could end up being liquidated and sold off in pieces.
[Wall Street Journal]
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Obama to Chrysler..."Good luck Bro"
YOU GET NOTHING, YOU LOSE, GOOD DAY SIR.
Linnnnggggeerrrr Lonnnger.
So the creditors who have bankrolled the operations and the labor union memberships now get screwed while the unions not only get HUGE ownership of the company but still protect their legacy costs--yea, thats fair
All right you clueless hayseeds, start making your posts when you have zero knowledge of how these things work. Jimmys AIDS test already got the ball rolling. Those of us informed are laughing.
This merger was finalized a month ago. No news from the Socialist administration.
Please Leader of the pests...
Enlighten us with your knowledge. I am an O and A hayseed as well and don't understand the big words that are being used. I can't figure out why they are talking bankruptcy when that is a monolopy term.
I await your thesis on this so my head can stop hurting.
This being a satrad site, I'm wondering what impact this will have on SIRIUS XM.
It has been a long time coming and in reality, the only real option the company ever had.
Good points. Probably minimal impact - the company will keep operating, and I'm sure they'll keep putting Sirius radios into their cars as they've done for a while now.
Jgatie, if you make it to NY to do that, they'll probably create a special channel and air it. Or maybe they could just provide updates on your (and his) progress during breaks in the swine flu coverage.
If you want your head to stop hurting, turn that O&A off. Why would you mention them here anyway? What is wrong with you?
I have to ask you the same question... What is wrong with you when you ask why I would mention O and A?
I was actually following a thread started by Jimmy's AIDS Test.
I see this trend in your posts, do you read or do research at all, or do you just type words on this site and hope for the best?
Once again, a hearty Fruncas to you sir!!!
The reason I replied, is that they did not mention O&A. Otherwise you made a good point. I just cant figure out why would mention them when the previous posts did not. I was interested in what people thought about chrysler. And no, I did not have any comments on chrysler. I was just amazed that you brought them up here.
You see a trend in my posts, a trend that I comment on the article above? Good observation. You were following up on jimmys aid test? What, his qoute from willy wanka. Now willy wanka is offending O&A fans? You are delusional.
"YOU GET NOTHING, YOU LOSE, GOOD DAY SIR.
Linnnnggggeerrrr Lonnnger"
Is a O and A reference. Any fan would know this. That is why I replied... It is not against O and A fans at all
That is a qoute from the original willy wonka and the chocolate factory movie. Every jock in the world uses it. It was a running joke with my friends as a youth. How can you claim this an O&A reference. Let me geuss, homer simpson, pouring beer, special ed from crank yankers and family guy sound bites are used as well. How original.
Never said it was an O and A original reference you literal tool!
Anonymous points out that it is a O&A reference. If anyone is a "tool", its you. Why would someone else tell me this is a O&A reference, but you say it isnt?
Anonymous points out that it is a O&A reference. If anyone is a "tool", its you. Why would someone else tell me this is a O&A reference, but you say it isnt?