Chrysler ready to pay back government loans
Chrysler Group was set on Tuesday to repay $7.5 billion in U.S. and Canadian government loans from its 2009 federal bailout, a move that will allow the U.S. automaker to distance itself from an unpopular bailout and deepen its ties with Italian automaker Fiat SpA.
Under the original terms, Chrysler had until 2017 to repay the debt.
Sergio Marchionne, the chief executive of Fiat and Chrysler, is scheduled to appear at a Chrysler assembly plant in Sterling heights, Michigan, Tuesday afternoon to express thank to the governments for their financial support. Also at the event will be Ron Bloom, the Obama administration’s point man on auto restructuring, and General Holiefield, head of the United Auto Workers union’s Chrysler department.