As expected, the Chrysler Group announced today that it had repaid the entire 8.5 billion loan (including interest) granted by the Canadian and U.S. governments in 2009, when the automaker was on the edge of a financial abyss.
Chrysler repaid 6.5 billion to the U.S. Treasury and 2 billion to Export Development of Canada, the holding company through which the federal and Ontarian governments acted.
According to the pre-established terms, the Auburn Hills manufacturer had six years to settle its debts, but chose instead to refinance them and take advantage of low interest rates.
President and CEO Sergio Marchionne said in a press release that “the loans gave us a rare second chance to demonstrate what the people of this Company can deliver and we owe a debt of gratitude to those whose intervention allowed Chrysler Group to re-establish itself as a strong and viable carmaker”.
Today’s announcement “marks another step in the Company returning as a competitive force in the global automotive industry,” he noted.
Chrysler repaid 6.5 billion to the U.S. Treasury and 2 billion to Export Development of Canada, the holding company through which the federal and Ontarian governments acted.
According to the pre-established terms, the Auburn Hills manufacturer had six years to settle its debts, but chose instead to refinance them and take advantage of low interest rates.
President and CEO Sergio Marchionne said in a press release that “the loans gave us a rare second chance to demonstrate what the people of this Company can deliver and we owe a debt of gratitude to those whose intervention allowed Chrysler Group to re-establish itself as a strong and viable carmaker”.
Today’s announcement “marks another step in the Company returning as a competitive force in the global automotive industry,” he noted.