Chrysler’s deal with Cerberus nearing closing

Chrysler’s deal with Cerberus nearing closing

Chrysler Group Chief Executive Tom LaSorda said in a statement that they are very close to closing their deal with Cerberus.

Cerberus is acquiring a majority interest in the automaker from German parent DaimlerChrysler AG for $7.4-billion.

He was speaking at the event to mark the start of Chrysler’s contract talks with the United Auto Workers union.

He reported that Cerberus Capital Management has managed to gather the funds required to complete its purchase of an 80-percent stake in the automaker.

He further said that the company needs to close a gap in hourly labor costs with Japanese rivals in the US market to become competitive and profitable again.