StaffAllpar HomeMore NewsCarsTrucksUpcomingRepairsTest drives

Cerberus to invest $2B

by David Zatz on

An Associated Press story cites Cerberus as saying it  will invest the first $2 billion in Chrysler Financial profits into Chrysler, LLC, adding to the $4 billion in funding from government loans. However, like the White House, Cerberus will demand that Chrysler labor costs be cut to the same level as foreign transplants – around $10 per hour for existing workers in combined wages and benefits according to some analysts –  and creditors must “restructure” debt. (Restructuring can mean changing payment terms, cutting the amount to be repaid, or both.)

In return for these concessions from workers and creditors, Cerberus said it would provide equity in Chrysler to unions and creditors.

FCA Q2: profits in North America, losses everywhere else
maserati BSG 2.0 turbo ghibli
Stellantis may be butt of jokes, but new tech may surprise some

Kevin Wesley talks Pikes Peak race cars, aftermarket support plans

More Mopar Car
and Truck News

Some popular Allpar pages

Dodge Demon

2018 Wrangler JL

Staff details/contactsTerms of ServiceInformation is presented to the best of our knowledge. Plans change and sometimes mistakes are made. Decisions or purchases made based on this site's verbiage or images are done at the reader's own risk. Also see the Allpar News archives, 1997-2008 • Copyright © VerticalScope Inc. All rights reserved. • Mopar, Dodge, Jeep, Chrysler, HEMI, and certain other names are trademarks of Fiat Chrysler Automobiles.