AP sources: Chrysler to file for bankruptcy
STEPHEN MANNING
AP Business Writer
WASHINGTON (AP) -- Two Obama administration officials say Chrysler will file for bankruptcy protection after talks broke down with a small group of the company's creditors.
The officials spoke on condition of anonymity because the filing plan has not been formally announced.
The government had long hoped to stave off bankruptcy for Chrysler, but negotiations with hedge funds that hold its outstanding debt crumbled overnight.
Bankruptcy doesn't mean the nation's third largest automaker will shut down. And Chrysler is expected to sign a partnership with the Italian company Fiat as early as today as part of its restructuring plan.
President Barack Obama is expected to discuss the nation's auto sector at noon.
About this blog
Economic Alert is a daily blog on business and the economy in the San Gabriel Valley and beyond, featuring updates and observations from the staff of the San Gabriel Valley Newspaper Group. SGVN includes the San Gabriel Valley Tribune, Pasadena Star-News and Whittier Daily News.
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Kevin Smith is business editor for the San Gabriel Valley Newspaper Group. Over the past 15 years, Smith has covered development, housing, employment, technology and financial trends for a variety of newspapers.
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Ryan Carter covers business and the economy for the San Gabriel Valley Newspaper Group.
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Your hosts:
Kevin Smith is business editor for the San Gabriel Valley Newspaper Group. Over the past 15 years, Smith has covered development, housing, employment, technology and financial trends for a variety of newspapers.
Ryan Carter covers business and the economy for the San Gabriel Valley Newspaper Group.
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