The automaker paid back its loans to the governments of the U.S. and Canada about six years ahead of schedule and it is now 53.5 percent owned by Italy's Fiat. By the end of 2011, Fiat will likely be able to acquire an additional 5 percent of Chrysler when it produces a vehicle capable of netting 40 mpg in the U.S.
Despite the $1.3 billion gap, the government called the bailout a "major accomplishment" as it cited the jobs that would have been lost had Chrysler been allowed to fail.
"With today's closing, the U.S. government has exited its investment in Chrysler at least six years earlier than expected," Tim Massad, the Treasury's assistant secretary for financial stability said in a release issued to members of the media.
Fiat will now be able to appoint a member to Chrysler's board, although the remaining approximately 45 percent of the automaker will still be controlled by a United Auto Workers health care trust.
