Kokomo Mayor: Chrysler Payments Validate Bailout
Kokomo Mayor Greg Goodnight is reacting to Chrysler's plans to repay its government loans years ahead of schedule.
Goodnight believes the refinancing arrangement validates the Obama administration's controverisal decision to bailout the industry about two years ago.
"This shows that what they needed was time to restructure and time to work on some new products, and that it was the right decision and a good investment for American taxpayers," Goodnight said.
The refinancing arrangement, involving a $3 billion term loan, $3.2 billion in bonds and a $1.3 billion hand out by Italian automaker Fiat, is expected to be completed on May 24th.
Under the control of Fiat, Chrysler has introduced several all new models, including the 300, Jeep Grand Cherokee and Dodge Durango.