A senior White House economic official who sits on the auto taskforce said on a Sunday talk show that there has been some progress in negotiations with the unions and debtholders for Chrysler. Automotive News reports:
“We’re hopeful this is all going to work out in a successful way,” Larry Summers, President Barack Obama’s senior economic adviser and co-leader of the government’s task force working to restructure the auto industry, told the “Fox News Sunday” program.
With the automaker facing a Thursday deadline to arrange a viable business plan, Summers said: “It’s something we want to see.”
He cited some gains in talks on multiple fronts but was not specific.
“There are some issues that have been worked out and some issues that remain to be worked out,” Summers said.
Unfortunately, the May 1 deadline to put together a viable plan for avoiding bankruptcy court is quickly approaching. It is possible, however, that if the administration sees progress in the negotiations they could extend that deadline and allow the talks to continue.