Around 2009, Chrysler LLC did what it had to do in order to begin its ‘rebirth’ and thus went into debt. Ever since then, they have been honestly doing their best to build themselves back up and recently, they have made another huge step towards the top. Chrysler has successfully repaid its outstanding loans to the U.S. and Canadian governments; $5.9 billion and $1.7 billion respectively. They did have to pull $6.7 billion from liquid reserves but even at that, Chrysler no longer owes the American government.
This pay off clears the way for Fiat to takeover. Another “boost” by Fiat was given in the form of $1.3 billion and thus bumped up Fiat’s ownership to 46 percent. That number seems to be going up at an increasingly faster rate and there appears to be no sign of slowing down. A condition of the government loans was that they had to be paid off before Fiat could take its shares of Chrysler over 51 percent. Now that the loans have been taken care of, Fiat has the ‘go-ahead’ to finish its takeover of Chrysler as soon as possible.
