Truemors
is reporting from
Member
NP Rank:
NP Rank:
Chrysler Fiat Deal in Danger
Share:
by Jordan Yerman | April 15, 2009 at 11:03 am
92 views | 35 Recommendations | 2 comments
Photos
Chrysler's deal with Fiat is in serious danger. The deal is a precondition for Chryser to receive $7 billion in bailout funding, so if this falls apart, Chrysler may have to file for bankruptcy.
Having said that, the automaker is pretty much on life support as it is.
For Chrysler, which is subsisting on cash borrowed from the U.S. and Canadian governments, the deal with Fiat is the last chance to avoid a bankruptcy filing and possible liquidation.
Fiat CEO Sergio Marchionne cites Canadian and American unions' "sense of entitlement" for the souring of the negotiations, saying that Fiat could just as easily look for partners in Germany or Japan.
“Absolutely we are prepared to walk. There is no doubt in my mind,” he said. “We cannot commit to this organization unless we see light at the end of the tunnel.”
What is NowPublic?
NowPublic lets people work together to cover news events around the world.
Crowd Power
V.Sharma
Canada
Most Recommended Stories in Tech & Biz
Recommendations (35)
Rhonda J Mangus
North Tonawanda, New York, United States
Paschen
Narita, Chiba, Japan
Roy C
Vancouver, Washington, United States
jazzyzazzy
Glasgow, Scotland, United KingdomAnonymous user
Most RecentMost Recommended Comments (2)
at 17:47 on April 15th, 2009
Years ago the fiat was associated with students.If you saw a Fiat you saw budding young professional. Shame cars carry a little bit of sentiment to some people. Lets hope some one takes pity and bales them out.
at 18:58 on April 15th, 2009
Fiat learned from Daimler that it is better to leave Chrysler then to give in to any demands.
And yes, Better partners can be fund in Japan and Germany for certain.