Fiat Still Committed to Chrysler

Tuesday, Italian automaker Fiat remained committed to gaining majority control over Chrysler, even with the recent Supreme Court stay on the sale. In the agreement, Fiat has the option to walk away from the deal if it is not completed by June 15. Three Indian pension and construction funds, which hold a portion of the remaining Chrysler debt, are claiming that the pending sale unfairly supports unsecured stakeholders vs. secured debt holders.

Amid the confusion and pending decisions from the Supreme Court, Fiat remains committed to Chrysler. “Fiat won’t walk away from Chrysler,” Fiat spokesman Gualberto Ranieri

The pending agreement allows Chrysler to have access to the environmentally-concious engine technologies and management expertise of Fiat, all for a 20 percent stake in the company.

Fiat will also bring the popular Fiat 500 and the Alfa Romeo brand to the U.S.

DrivePwr will continue report on the pending sale. Stay Tuned!

Chrysler needs $448 million, and they just might get it.

Today, U.S. automaker Chrysler LLC submitted proposals nearing $448 million to the U.S. Department of Energy for research and development of electric vehicles and plug-in hybrids. Today, U.S. automaker Chrysler LLC submitted proposals nearing $448 million to the U.S. Department of Energy for research and development of electric vehicles and plug-in hybrids. Good timing, huh? Operating in bankruptcy since April 30th, it seems rather convenient for Chrysler to propose this agreement on the eve of a judges ruling to the sell of assets to a U.S. and Canadian owned company. Chrysler, it’s partners, and the Department of Energy, would pay $224 million each upon approval of the proposals If approved, the proposal would include an investment of close to 83 million to build a technology and manufacturing center in Michigan to assist in the development of the new technologies and vehicles. It is reported that the complex should be up and running by 2010 and produce more than 20,000 vehicles a year, Chrysler said.

GEM Peapod Electric Car, or Alien Head? Click the above image to view the Peapod image gallery.

So apparently, Chrysler’s own GEM is going to be mass-producing the GEM Peapod for worldwide distribution, around 2010. Before I start, let me preface with the minor detail that Autocar.co.uk, (the source for this post, and in the above link) did not source this information,  we will do our best to scour the internet to find whom from Chrysler actually said this.

This proposed EV will have a 40 mile range, and for most city-drivers that seems plenty.  It will also be electronically limited to 25 mph. So, who drives 40 miles going 25 mph anyways? Supposedly, it will be available for purchase sometime in 2010, as a one-seater, two-seater and utility van.

Global Electric Motorcars (GEM) has been developing neighborhood electric vehicles (or NEVs) for some time now, with over 38,000 units currently in use, and over 150 current dealers.   The Peapod will be produced in existing factories.