Friday, June 5, 2009
A U.S. appeals court says it approved Chrysler's sale to Fiat but is keeping the deal on hold until Monday to allow an appeal.
The 2nd U.S. Circuit Court of Appeals says it will block the sale until 4 p.m. EDT Monday unless the U.S. Supreme Court says it will not hear appeals from objectors.
The appeals court heard arguments Friday from attorneys representing Chrysler LLC, Fiat Group SpA and a trio of Indiana state pension and construction funds, the latter of which say the deal approved by a bankruptcy judge unfairly favors the interests of the company's unsecured stakeholders ahead of those of secured debtholders such as themselves.