The Detroit auto-maker Chrysler reported its first profits since going into bankruptcy in 2009. Chrysler was forced into bankruptcy by President Obama and was also asked to team up with Fiat to help their company survive and avoid liquidation.
Chrysler reported profits in all four quarters of 2010, but interest payments to the American and Canadian governments resulted in losses. The auto-makers will refinance their $87.8 billion government loan to reduce their interest payments. They expect to completely pay off their bankruptcy loan to the US by June of 2011.
Their success has been attributed re-vamping existing models and the development of new vehicles; they hope the momentum will continue. Seventy-eight percent of their sales in the first quarter of 2011 were from trucks.
The Chrysler Corporation was able to survive because of their bankruptcy filing. This is a success story for anyone who has contemplated bankruptcy, but isn’t sure if would help them. Bankruptcy is meant to protect the person or company, who has fallen into financial hardship, from losing all they have worked for.
Filing for bankruptcy protection is a hard decision to make. Getting the advice of a bankruptcy lawyer, can help a person decide, which re-structuring works best for them or their business. A Bankruptcy attorney can protect a person’s assets from seizure and end the harassment they face from creditors. Bankruptcy protection can return the individual or business back on the right financial path.