Chrysler To Repay $7.5 Billion In Bailout Money
In another sign of recovery for the American auto industry, "Chrysler said today it intends to pay off its $7.5 billion in government loans by selling new debt, an investment from Fiat and a new loan agreement with institutional investors," the Detroit Free Press reports.
As the newspaper reminds us, "Chrysler owes $5.8 billion to the U.S. Treasury and $1.7 billion to the Canadian governments as part of a 2009 restructuring that allowed it to emerge from Chapter 11 bankruptcy."
The Detroit News, which estimates the bailout to have been $7.4 billion (not $7.5 billion), says the automaker plans to pay off its debt by the end of June "as long as market and other conditions remain conducive."
Other recent good news for U.S. automakers has included Ford's $2.6 billion profit in the first quarter and General Motors' $4.7 billion in earnings last year. Copyright 2011 National Public Radio. To see more, visit http://www.npr.org/.