November 28, 2014
WASHINGTON (AP) - The Treasury Department says it has received a $1.9 billion from Chrysler to settle a $4 billion loan.
The department says that while the $1.9 billion repayment is less than the original loan, the amount is still more than Treasury had expected to recover.
The original loan was made on Jan. 2, 2009, by the Bush administration. At the time, the government was scrambling to provide emergency support to both Chrysler and General Motors and their auto financing arms.
The loan was extended to finance Chrysler LLC, the "old Chrysler" auto company that was later spun off when Chrysler emerged from bankruptcy in 2009. Chrysler Holding, the company that made the repayment Monday, is the parent company of "old Chrysler."
Copyright 2014 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.