DETROIT -- Chrysler Group today repaid $7.6 billion in loans to the U.S. and Canadian governments, nearly two years after the No. 3 automaker was rescued.
The company said it made a payment of $5.9 billion to the U.S. Treasury and $1.7 billion to Export Development Canada -- retiring loans that allowed Chrysler to exit bankruptcy in June 2009. Chrysler completed repayment of the loans six years ahead of schedule.
"Less than two years ago, we made a commitment to repay the U.S. and Canadian taxpayers in full and today we made good on that promise," CEO Sergio Marchionne said in a statement. "The loans gave us a rare second chance to demonstrate what the people of this company can deliver and we owe a debt of gratitude to those whose intervention allowed Chrysler to re-establish itself as a strong and viable carmaker."
With today's transaction, the U.S. government's stake in Chrysler has been reduced to 6.6 percent from 8.6 percent, and Canada's interest has been cut to 1.7 percent from 2.2 percent, a company spokesperson said.
Fiat S.p.A. now owns a 46 percent stake, up from 30 percent, and a United Auto Workers trust owns 45.7 percent, down from 59.2 percent.