Chrysler and Fiat Deal Close to Closing
Date 2009/4/28 20:18:52 | Topic: Miscellaneous
|MSN Money is reporting that although the deadline is just 2 days away, it appears that the Chrysler/Fiat deal will be done in time.|
The United Auto Workers union would own 55% of a restructured company, with Fiat getting 35% and creditors, including the U.S. government, getting 10%.
UAW leaders tentatively agreed to a deal on Monday, but it now will be sent to local unions for ratification.
In related news, Chrysler's former parent, Daimler (DAI, news, msgs) late Monday reached a deal to unload its remaining stake in Chrysler. Daimler will pay $200 million for three years to secure pension payments. The German automaker will also forgive the repayment of loans and dispose of its 19.9% Chrysler stake.
I'm not sure I completely understand what this means - with the ownership breakdown listed above, where does Cerebus fit into all this?
Anyone? Anyone? Bueller?
Thanks to JayBird for the heads-up on this article.