Chrysler loans...

[Paul56]

http://www.ottawacitizen.com/Chrysler+r ... story.html


But it is not all so good...

"Chrysler swapped out government debt with cheaper debt from institutional investors. The company does not have any less debt on its books, but it said the refinancing would save it an estimated $350 million a year in interest expenses."

...and to that Obama says this is a sign the automotive industry is recovering. I'm not sure how that is... if they had really paid off the loans instead of swapping lenders for better terms it certainly would be a sign of improvement.

[theColonel]

But it is not all so good...

"Chrysler swapped out government debt with cheaper debt from institutional investors. The company does not have any less debt on its books, but it said the refinancing would save it an estimated $350 million a year in interest expenses."

The best part of this is that FIAT now has a bigger ownership at stake, and will be committed to make Chrysler succeed.
Cerberus had no committment, or knowledge of the auto industry.

[darthroush]

It may not be a sign of "improvement," but perhaps a sign of better fiscal responsibility? Not a bad place to start though.

[Diablo0]

It may not be a sign of "improvement," but perhaps a sign of better fiscal responsibility? Not a bad place to start though.

I concur though they did show their first profit since 2006.

I don't see it as being any different that a homeowner refinancing their home with the goal of getting a lower interest rate. If it saves them $ in the long run then it's a good business move.

[Midnight_Rider]

^^Exactly. And it will stop all of these stupid "The government owns Chrysler" comments.

Just a few more steps before the IPO- I'm ready to buy some Chrysler Group stock!

[Paul56]

A quick browse of Allpar reveals they have some interesting plans for the next few years.

I hope they pull it off and come out with some great new modern vehicles that are functional, comfortable and reliable.

I read something about a "Dodge PK" I believe that was supposed to slot in to fill the void left by the demise of the Neon.

"PK- Dodge small car (C-Evo/CUSW) (2013-)"

It will be interesting to see how those develop.

The 500 is neat, but just a little too small... for me anyway.

I just cannot see the Texans dropping their SUVs and pickups to go into at 500... even with gas at 5 bucks/gal.

Edit... adding this link: http://www.allpar.com/cars/chrysler/2013/

[theColonel]

Fiat to Buy Full U.S. Stake in Chrysler

http://dealbook.nytimes.com/2011/05/27/ ... ysler/?hpw