PRESS DIGEST - New York Times business - Aug 6

(Reuters) - * Robert Nardelli, recently ousted amid shareholder
discontent as chief executive of Home Depot Inc. , has
been picked to lead Chrysler by its new owners, Cerberus
Capital Management [CBS.UL].




* The complex design of mortgage securities is confounding
homeowners struggling to avoid defaulting on their loans.


Read more at Reuters.com Mergers News

Chrysler Forced to Pay Higher Interest Rates on Debt for Cerberus Buyout

(Bloomberg) -- Chrysler increased the interest rates
on $12 billion of loans it is seeking to fund a buyout by
Cerberus Capital Management LP after investors balked at the
money-losing carmaker's original terms, lenders said.

The company raised the yield it is willing to pay on a $10
billion term loan for its auto unit to 3.75 percentage points
over the London interbank offered rate from 3.25 percentage
points it was seeking on June 28. Chrysler is offering Libor plus
at least 7 percentage points on a $2 billion second-lien loan,
compared with the 6 percentage points initially proposed, said
three investors, who declined to be named because the terms
aren't public.


Read more at Bloomberg Bonds News

Cerberus committed to Chrysler, confident of funding

(Reuters) - ROCHESTER, Mich., July 11 - Cerberus Capital Management Chairman John Snow said on Wednesday that the private equity firm is committed to making Chrysler Group a successful automaker. "We're committed to Chrysler. We're committed to making it an enormous success," Snow said to an audience of about 700 at the Detroit Economic Club.



Cerberus had agreed to buy the majority of automaker DaimlerChrysler's struggling Chrysler Group for $7.4 billion in May.


Read more at Reuters.com Mergers News

Chrysler sales outside US up 10 pct in 2nd quarter

(Reuters) - Sales rose 3.3 percent in the quarter to 735,837 vehicles
in the quarter worldwide for Chrysler, which said sales in the
United States rose 1.5 percent to 575,844 units.




Read more at Reuters.com Market News

Chrysler, China's Chery to Start U.S. Sales of A1 Hatchback in Early 2008

(Bloomberg) -- Chrysler Group, the fourth-largest
U.S. carmaker, will sell a Chinese-made small car in the U.S.
next year that retails for about half the price of its cheapest
model.

The carmaker will begin selling Chery Automobile Co.'s A1
hatchback in the first quarter of 2008, Chery President Yin
Tongyao told reporters in Beijing. The 1.3-liter A1 costs from
53,800 yuan ($7,100) in China. Chrysler's least expensive U.S.
model is the $13,850 Dodge Caliber, according to Edmunds.com.
Yin didn't say how much the A1 would cost in the U.S.


Read more at Bloomberg Emerging Markets News