Tuesday, May 5, 2009

Judge OKs Chrysler Bidding Procedures Despite Protest

Judge Gonzalez Greenlights 363 Process, Redlights Justice (Zero Hedge)

Well it didn't take very long for the judge to capitulate. Super-fast dismantling, just like Lehman Brothers.

"What is notable is that during a witness testimony in court today, a Chrysler staffer under oath said that Chrysler had previously been in discussions with Nissan, GM and Fiat for alternative value enhancing programs, which had a Net Present Value of $11 Billion, $36 Billion and 4 Billion, respectively. And yet per the Sale Motion, Chrysler creditors (TARP and Non-TARP) will receive a mere $2 billion from Fiat now, in exchange for the Dodge-maker's good assets." [emphasis mine]


Judge OKS Chrysler bidding procedures, dissident lenders protest; identities to be disclosed (AP)

"Bids for all or part of Chrysler's assets must be submitted by May 20, and a determination of the lead bid made by May 26. A final sale hearing would be held on May 27 and the sale could close in as little as 30 days after that."

The judge also ordered the identities of the lenders to be disclosed, despite public threats to the lenders (with loudest threats coming from the White House and the car czar).

If you are performing fiduciary duty to your firm and your clients, you are now a "dissident".


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