Chrysler receives $4 Billion U.S. government loan
Monday, 05 January 2009, 18:02 IST
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Washington: U.S. car maker Chrysler confirmed Saturday that it had received an initial infusion of $4 billion from the US government. In statement from its corporate headquarters in Detroit, Michigan, Chrysler head Robert Nardelli said the funds would "allow the company to continue an orderly restructuring, while pursuing our vision to build the fuel-efficient, high-quality cars and trucks people want to buy". The US government moved during the New York's holiday to free up money for auto loans and to start emergency infusions of billions of dollars directly into the car industry. General Motors (GM) recently received $4 billion of the $13.4 billion lifeline promised to the industry by US President George W. Bush late in December. Under the terms of the $13.4-billion direct loans, GM can claim $9.4 billion and Chrysler LLC gets $4 billion over December and January. The funds come with the conditions that GM and Chrysler prove they can return to viability or the money could be withdrawn by March 31, likely leaving no option other than bankruptcy.
Source: IANS
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