Windsor, Ontario – Chrysler Canada has submitted its long-term viability plan in support of the company’s request for federal and Ontario provincial assistance. The document follows the original submission to the two governments in December 2008.

“We are very appreciative of the continued support from the federal and Ontario governments in our request for a repayable working capital loan,” said Reid Bigland, president and CEO. “We are confident that this loan will assist Chrysler Canada in its restructuring efforts to achieve long-term viability, and we expect to continue our significant corporate presence in Canada where we have been active for 84 years.”

The Chrysler LLC Viability Plan submitted to the U.S. Treasury on February 17 includes Chrysler Canada operations, and does not call for Canadian plant closures.

Chrysler Canada assembles approximately 500,000 vehicles per year and exports 85 per cent, including the Dodge Grand Caravan at its Windsor, Ontario plant, and the Chrysler 300 and Dodge Charger and Challenger in Brampton, Ontario. It employs 9,400 workers and supports more than 13,000 retirees, with a network of 450 dealers across Canada employing more than 24,000 Canadians.

Chrysler Canada continues to request a pro-rata contribution from the Canadian and Ontario governments, proportionate to its total Canadian manufacturing output.  Currently, the two governments have pledged $1 billion, which the company said will be used to allow continued viability and presence in Canada.

In its February plan, Chrysler included several restructuring actions, including reducing fixed costs by $3.1 billion, reducing its workforce by 32,000 employees, eliminating 12 production shifts and 1.2 million units of production, discontinuing four vehicle models, and disposing of $700 million in non-earning assets.

Canada-specific restructuring through the end of 2008 included closing three parts distribution centres in Winnipeg, Moncton and Vancouver; eliminating a third shift at the Brampton, Ontario plant; and eliminating 1,700 jobs.

Connect with Autos.ca