Bob Nardelli, Chrysler's CEO, said today that this move will help the Americans meet the US government's requirements. "We continue to remain focused on completing these and all other transactions needed to qualify for ongoing financial support from both the U.S. and Canadian governments," Nardelli said in a memo quoted by Reuters.
Coming back on Daimler, the company simply stated they will erase all of Chrysler's debts and even pay an extra $200 million to car maker's pension service in order to "secure payments to former employees of DaimlerChrysler".
The American manufacturer now has only one big obstacle to overcome in the Fiat deal: a possible failure in negotiations with the bondholders. Chrysler has already come to an agreement with the UAW, a deal which sources say it will give the Union a 55 percent stake in the manufacturer.
As for the Fiat-Chrysler deal itself, the results are expected to come on Thursday. With only two days remaining until the April 30 deadline, Fiat vice chairman John Elkann says the results of the talks will be announced on that very last day.
"The Chrysler deal will be decided on Thursday evening our time, end of day in the United States. Up till the end, we won't have much detail. Today the negotiations are in the hands of the U.S. government taskforce. They are carrying out the negotiations," the official was quoted by Reuters.
Could Chrysler go bankrupt? "Chapter 11 is a term that implies many possibilities, we will need to see what the possibilities will be. We will need to be patient until Thursday," added the vice chairman.
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