U.S. Senator Debbie Stabenow (D-MI), today sent letters to Chrysler lenders urging each of them to return to the negotiating table and reach a fair restructuring deal before the April 30th deadline.
A copy of the letter below went to Citigroup, JPMorgan, Morgan Stanley, the Goldman Sachs Group, Elliot Management, Stairway Capital Management, Perella Weinberg Partner and Oppenheimer Funds.
The clock is ticking for hundreds of thousands of current Chrysler employees, retirees, suppliers, and dealers. In less than a week, Chrysler faces a deadline to complete their deal with Fiat and submit their new restructuring plan. That cannot happen until all the stakeholders come to the table and reach an equitable deal that results in a viable company.
Much like the banking industry that the government has supported over the last seven months, the automotive industry plays a critical role in national recovery efforts. As a financial industry leader, you understand the interconnectedness of the automotive industry and the role it plays in our economic growth. A failure of a major automaker wouldn't just be felt by the workers directly employed by the company, but would also hit the thousands of businesses that depend on the automaker, from parts suppliers to dealers to the service industries such as consultants and advertisers to the stores in communities that rely on business from the auto workers.
I urge you to do your part as a stakeholder in this vital company and come back to the negotiation table, just like the autoworkers who have already made tremendous sacrifices, to work toward a resolution outside of bankruptcy. In a press statement, you said that you "fully support a solution that saves jobs and protects the industry's viability." Based on this statement, you realize the devastating impact a bankruptcy would have on both of these shared objectives.
Hundreds of thousands of American families are waiting anxiously as Chrysler approaches its deadline. I urge you to continue negotiating and to reach a fair restructuring deal before April 30.
U.S. Senator Debbie Stabenow