The Bush Administration approved a $17.4 billion bailout package for General Motors and Chrysler last month, but that money has been slow to reach the automakers’ bank accounts. Both automakers were slated to receive a portion of the funds on December 29th, but further negotiations delayed that plan.
GM confirmed it received its $4 billion allotment on December 31st, but Chrysler has yet to receive its portion of the government bailout. “We’re working expeditiously with Chrysler to finalize that transaction, and we remain committed to closing it on a timeline that will meet near-term funding needs,” Treasury Department spokewoman Brookly McLaughlin told Automotive News.
Neither Chrysler or the Treasury Department have revealed what details are preventing the transfer of funds, but with Chrysler on the brink of bankruptcy, the cash injection is expected in the coming days.
The delay of funds marks the second time Chrysler has been in the headlines this week for its controversial bailout plan. The Michigan automaker drew criticism for a ‘thank you’ ad it took out shortly after the Bush Administration announced the emergency loans. Many felt that the money used for the ads were a waste as some full-page advertisements can cost well over $200,000.
01/02, 12:46 PM
posted by:
yarddog82abn
Did you Know President Bush owns 1, White Chevy 2500HD diesel truck… And believe it or not, he paid sticker! It is registered under his name in the state of Texas… All of his other vehicles are under his Ranch’s name…
01/02, 1:02 PM
posted by:
Fit19
Perhaps the government had a momentary epiphany and realized that of the the Big 3, (and I realize Ford isn’t taking any money just yet) Chrysler would have the hardest time becoming viable again, and maybe loaning them billions of dollars might not be such a good idea after all?
01/02, 1:20 PM
posted by:
mikemacnn
Fit, It does not matter. If they are to be given money, they will get it. The time is over for putting ideas in this matter.
01/02, 1:30 PM
posted by:
The Stig
Chrysler sure isn’t saying “Thank You” now.
01/02, 1:53 PM
posted by:
howsmydriving
Any release of funds should be tied to the production of the Hornet.
01/02, 2:10 PM
posted by:
johnnycanuck
Are December sales figures out yet just so we can complete the Chrysler bad news hat trick for the day?
01/02, 2:12 PM
posted by:
idrinorbarsaku
i hope they have to wait till they are way passed bankrupt and can’t have their money anymore
01/02, 2:25 PM
posted by:
Mutant@DCX
We are closed til February, just put it in our account when your ready, interest included.
01/03, 10:29 AM
posted by:
Fit19
Mike, just because a plan of action has been decided, doesn’t make it any less of a bad idea.
01/04, 11:54 AM
posted by:
mikemacnn
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