updated 6/26/2008 3:58:17 PM ET 2008-06-26T19:58:17

A Chrysler LLC spokeswoman says speculation the company plans to file for bankruptcy protection is not true.

The rumors were so prevalent Thursday that the company was forced to issue a statement.

Spokeswoman Shawn Morgan says the speculation is false and without merit. She says they do not reflect the privately owned company's financial situation.

The rumors apparently originated in Europe and follow Tuesday's action by Chrysler to exercise a $2 billion line of credit from Cerberus Capital Management LP and Daimler AG.

Morgan says the Auburn Hills, Michigan-based automaker had to borrow the money before Aug. 3 under terms of Cerberus' purchase of an 80 percent stake in Chrysler from Daimler in August of 2007.

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


Discussion comments


Most active discussions

  1. votes comments
  2. votes comments
  3. votes comments
  4. votes comments

Data: Latest rates in the US

Home equity rates View rates in your area
Home equity type Today +/- Chart
$30K HELOC FICO 3.79%
$30K home equity loan FICO 4.99%
$75K home equity loan FICO 4.69%
Credit card rates View more rates
Card type Today +/- Last Week
Low Interest Cards 13.83%
Cash Back Cards 17.80%
Rewards Cards 17.18%
Source: Bankrate.com