Chrysler LLC has confirmed that the US Bankruptcy Court in the Southern District of New York has given approval to its request to sell its operations to Chrysler Group LLC – the new company formed with Fiat SpA.
The alliance with Fiat will give the Chrysler Group access to products that will complement its existing portfolio and assist it with stronger global distribution. The companies are already working together on the next generation of green cars and Robert Nardelli, the chairman and chief executive of Chrysler Group LLC, believes there are huge benefits to the alliance.
“Through the hard work and foresight of many Chrysler stakeholders, Chrysler Group will soon begin operations with significant strategic advantages, such as a wage and benefit structure for active and retired employees that is competitive with those of transplant manufacturers; a reduction of debt and interest expense; the disposition of idle assets; a rationalised and more efficient dealer network; and sound agreements with our suppliers,” he said.
“While this has been an extremely difficult chapter in Chrysler’s history for all involved, the new company and its customers, employees and suppliers can now begin on a fresh page.”
It is hoped that these steps will position Chrysler Group to provide customers and dealers with both the high quality vehicles and service they expect.
