StaffAllpar HomeMore NewsCarsTrucksUpcomingRepairsTest drives

Chrysler will form new company with Fiat

by Bill Cawthon on

Chrysler will sell its principal assets to a new company under Section 363 of the Bankruptcy Code. The new company will be the result of the alliance with Fiat and will have the Chrysler, Dodge and Jeep brands, as well as most of Chrysler’s current employees and production facilities. Chrysler’s current employees will become employees of the new company.

Chrysler will pay $2 billion to its secured creditors for the assets.

Section 363 allows assets to be sold quickly, so the “new” Chrysler should spend only about 60 days under court supervision.

The remaining assets will go through a traditional Chapter 11 process where they will be sold or liquidated.

Bill Cawthon grew up in the auto industry in the 1950s. His Dad worked for Chrysler and Bill spent a number of Saturdays down on the plant floor at Dodge Main in Hamtramck. Bill is also the U.S. market correspondent for, a British auto industry publication, and a member of the Texas Auto Writers Association, which has named the Jeep Grand Cherokee the “SUV of Texas” several times and named the Ram 1500 as the “Truck of Texas” two years running.

Bill has owned five Plymouths (including the only 1962 “Texan”), one Dodge and one Chrysler and is still trying to figure out how to justify a Wrangler. He also has owned at least one of every 1:87 scale model of a Chrysler product. You can reach him directly at (206) 888-7324 or by using the form.

Ram 1500 TRX: First Drive in the Raptor Slayer

New future for minivans, big cars (updated)

Mopar Makes Towing with the Jeep Gladiator Safer

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.