HallSlug.com

Chrysler Files For Bankruptcy

Washington — The White House will force Chrysler LLC to file for bankruptcy protection today, after talks between the Treasury Department and the Auburn Hills automaker’s creditors failed last night to reach an agreement.

“This will be quick, it will be efficient, it is designed to deal with those last few holdouts” who blocked an out-of-court restructuring, President Barack Obama said in a televised announcement from the White House. Obama pledged the bankruptcy filing would not disrupt the company’s operations or the lives of its workers.

The president had harsh words for the group of investment companies and hedge funds that balked at a debt restructuring. “I do not stand with them,” Obama said, calling them “speculators” who sought to endanger Chrysler’s future for their own benefit.