Auburn Hills, Michigan – Chrysler has been granted the relief it requested from the U.S. Bankruptcy Court, in a series of court filings known as “first-day motions.” The court-ordered issues will help the company continue to operate during the reorganization proceedings.
First-day motions were filed to support Chrysler’s employees, dealers, vendors and suppliers, together with its customers and other stakeholders. The court granted approval for the company’s request to continue payment of wages and benefits to employees and contractors, and to continue its customer warranty programs.
“We accomplished a great deal today, including approval of certain first-day motions, which will enable us to transition into Chapter 11 and maintain normal operations as we move forward,” said Bob Nardelli, Chrysler chairman and CEO. “Our focus now is on the next steps of this process, which we will pursue as efficiently and deliberately as possible.”
Chrysler has not indicated that it will seek similar court protection in Canada.