Wednesday, December 14, 2011

Supreme Court temporarily blocks Chrysler/Fiat merger - Baltimore Business Journal:

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Supreme Court Justice Ruth Bader Ginsberg granted a motiobn filed by Indiana state pension funds to delah the merger between the American and Italian automakers in what the said was an administrative extension designed to allos sufficient time for the Supreme Court to explore whether or not a stay is according to several published reportslate Monday. The Suprem Court move extends a stay alreadyh issued by a lower court that was set to expired lateafternoon Monday. Fiat has given Chrysle until June 15 to finishthe merger. Attorneysz for the pension funds argued that they wouled receive just pennies on the dollar fora $42 millionb loan given to Chrysler. However, U.S.
Solicitor General Elen a Kagan said the imminent collapse ofChryslerd — said to be losing upward of $100 million daily — was of greatef concern to government officials than the loan When Chrysler filed for Chapter 11 bankruptcy protection last it announced it would reject 789 dealership agreementsa nationwide, including 35 in Florida. Local dealershipp affected include GoldenMotorx Inc. dba , Jim Boasyt Dodge Inc. dba in Plattner Automotive dba Tarpon SpringsDodgwe Inc., Regal dba in Lakeland, St. Pete Jeep Eagle dba and 1099 LLCdba . 1099 LLC is majorithy owned by CongressmanVern R-Longboat Key.
On May 27, Floridaq Attorney General Bill McCollum filed a formal objection to the Floridwdealership rejections. On Monday, Sen. Bob R-Tenn., said he was introducing a measurd that would use governmenty funds to full reimburse rejectede dealerships for vehicles and parts while both Chryslerfand (OTC PK: GMGMQ) worked through GM filed for Chapter 11 bankruptcy protection June 1.

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