In what could be the first-ever skirmish in the proposed Fiat- Chrysler merger, the Italian automaker reacted negatively to its potential Detroit partner’s announcement that Fiat would assume 35 percent of Chrysler’s debt. Fiat, the automaker said, does not plan to take on any of Chrysler’s debt to the United States government.
In a statement, Fiat announced that it “intends to make absolutely clear that the proposed alliance will not entail the assumption of any current or future indebtedness to Chrysler.”
Yesterday, Chrysler’s went on record saying that Fiat would take on 35 percent of Chrysler’s debt when it acquired the same percent of the automaker in a no-cash deal.
If there’s a reaction from Chrysler – it’s still early up in Auburn Hills – we’ll let you know what it is.
