Apr 29, 2009 10:37 pm US/Eastern
UAW Overwhelmingly Ratifies Chrysler Settlement
WASHINGTON (AP) ―
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A person familiar with the talks says the Treasury Department has reached a tentative agreement with four of Chrysler's major debtholders as the automaker races to stave off bankruptcy.
Roberto Schmidt/AFP/Getty Images
Members of the United Auto Workers have overwhelmingly ratified a settlement deal with Chrysler on Wednesday night.
The UAW says 82 percent of production workers and 80 percent of skilled-trades workers voted for the agreement in balloting that took place at UAW Chrysler locations throughout the U.S. Ninety percent of office and clerical workers and 94 percent of UAW-represented engineering workers voted in favor.
The agreement, which will take effect May 4, meets Treasury requirements for continued loans to Chrysler Corp., and includes commitments from Fiat to manufacture a new small car in one of Chrysler's U.S. facilities and to share key technology with Chrysler.
President Barack Obama said Wednesday night during his prime-time address that he is "very hopeful" that deals can be worked out to keep Chrysler a viable automaker, as negotiations with debtholders continued late Wednesday and Italian automaker Fiat Group SpA was poised to sign on as a Chrysler partner.
Obama said at an evening news conference that he is more hopeful than he was a month ago that Chrysler LLC will stay in business, but he declined to comment on details.
(© 2010 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)
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