US gov't sends Chrysler $4B bridge loan

[Omaha Steve]

Source: AP

AUBURN HILLS, Mich. (AP) - Chrysler LLC and the U.S. Treasury Department said Friday that the government had supplied the automaker with a $4 billion loan that was necessary to keep it operating.

Chrysler Chief Executive Bob Nardelli said in a statement the loan 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."

Nardelli described the funding as an "initial loan." The automaker had asked Congress to borrow $7 billion.

Chrysler, which is 81 percent owned by Cerberus Capital Management LP, was nearing the minimum level of cash - $2.5 billion - it needed to operate and has been fending off parts suppliers and other vendors demanding cash payments on delivery.


Read more: http://apnews.excite.com/article/20090103/D95FC1KG2.html

[thunder rising]

1. So the execs get a great Xmass present and the workers get put out in the cold.

[madrchsod]

2. the company my daughter works for will get paid...

they are worried about whether they will go back to work monday. it looks like they will.

[PM Martin]

3. I would hope that Obama's team would work

with the car makers beyond any financial bail-outs.
There needs to be a movement to bring in a new management team to Detroit too.

[CatholicEdHead]

4. I thought Cerberus had lots of liquid assets

so they really should not have to be bailed out. They also own most of GMAC which also is bailout-hunting.

What crooks.

[Telly Savalas]

5. Better watch it, or the Defenders of the American Worker (TM) will accuse you of being anti-union

for questioning the motives of the executives of a large private equity firm.

[Sen. Walter Sobchak]

6. cultural hegemony at its finest...

As an instrument of social control the "bailouts" have been even more effective in a shorter time than talk radio ever was to make blue collar workers excited and appreciative about being violently sodomized by the capitalists, even incompetent outsourcer extraordinaire Alan Mulally has quite the band of militant supporters around here.

And when the Chrysler "bailout" is being used to fly prostitutes around in private jets for cerberus capital goons and Chrysler is in Chapter 7 the Defenders of the American Worker (TM) will claim the bailout just didn't come soon enough.

The "bailouts" are nothing more than a final gift to big business from the neocons before they head to political oblivion for the next generation,