Chrysler Group will today officially announce the reimbursement to the US and Canadian governments. In 2009, the two countries lent the Detroit giant $7,5 billion to avoid bankruptcy.
According to the Wall Street Journal, the announcement will come directly from CEO Sergio Marchionne, who today will visit the plant in Sterling Heights, Michigan, where the Chrysler 200 sedan is being assembled. He will be accompanied by the White House adviser for supervision of the automotive industry, Ron Bloom.
The repayment was made possible by a debt refinancing agreement reached last week with a number of private banks.
The repayment of the loan will also have positive implications in terms of image. Marchionne has pointed out in the past that the state bailout hurt Chrysler Group in the eyes of consumers. Even after the debt is remedied, however, the two US governments will still remain minority shareholders in the company.
