(CNNMoney.com) -- Chrysler LLC faces the most difficult, and important, week in its 84-year history as the automaker tries to close three difficult deals in order to avoid bankruptcy.
The automaker has until Thursday, April 30, to reach a deal on an alliance with Italian automaker Fiat, convince banks holding $7 billion of its secure debt to accept pennies on the dollar and win additional wage and pension concessions from its unions.
The challenge is that all three parties negotiating with Chrysler will want to see terms of the other deals before they agree to their own deal. That's because Fiat, banks and the unions will all likely end up owning a stake in the troubled automaker. The value of those stakes depend upon how much equity each party receives, and what Chrysler's chances of avoiding bankruptcy are.
Failure to reach a deal is likely to put the company on the path towards closure and the sale of its assets. The Treasury Department's auto industry task force has declared that Chrysler is no longer viable as a stand-alone company and gave it only a month to reach a final deal with Fiat that would give the government enough confidence to extend Chrysler $6 billion more in loans.
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