Chrysler Offers Rates on $3.5 Billion Loan to Repay U.S.
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Chrysler Group LLC, the automaker operated by Fiat SpA, offered initial rates on a $3.5 billion term loan it’s seeking to repay U.S. and Canadian governments, according to four people briefed on the transaction.
The Auburn Hills, Michigan-based company proposed an interest rate 4 percentage points to 4.25 percentage points more than the London interbank offered rate, said the people, who declined to be identified because the terms are private. Libor, a rate banks charge to lend to each other, will have a 1.25 percent floor.