Auto task force calls Chrysler restructuring plan 'bold'

David Shepardson / Detroit News Washington Bureau

Washington -- The U.S. Treasury Department today praised Chrysler Group LLC's turnaround presentation as a "bold restructuring plan," but said it had no role in developing it.

Treasury spokeswoman Meg Reilly said the Obama administration's auto task force had been briefed ahead of today's seven-hour business plan presentation in Auburn Hills.

"Consistent with our post-restructuring role, the government was not involved in the development of this plan. Members of the team were briefed on the plan once it was finalized," Reilly said. "We appreciate the company's commitment to a bold restructuring plan. Our focus is on making sure the U.S. taxpayer gets repaid."

Sen. Debbie Stabenow, D-Lansing, said she spoke recently with new Chrysler Chairman C. Robert Kidder, and thinks the Fiat team is doing a good job.

"They have come in and are doing the right things to make the changes they need to make," Stabenow said. "They are moving in the right direction."

That issue has gotten more attention recently since the Government Accountability Office said taxpayers were unlikely to get back all of the $80 billion invested in the auto industry. The White House said this week that taxpayers would get "some" of their money back.

Chrysler said it broke even in September and had $5.7 billion in cash at the end of the quarter, up from $4 billion when it exited bankruptcy in June.

Ron Bloom, the administration's top auto adviser, was briefed in Auburn Hills Oct. 2 by senior Chrysler Group LLC executives on the company's turnaround plan.

Bloom has had regular contact with Chrysler executives in recent weeks.

Reilly also said the Obama auto task force had no role in General Motors Co.'s surprise decision Tuesday to retain its Opel unit.

dshepardson@detnews.com (202) 662-8735