Chrysler stock sold by Ottawa, Ontario
The federal and Ontario governments have sold their shares in Chrysler for $140 million US, ending their involvement in the 2009 bailout of the automaker.
The buyer is Fiat, Chrysler's parent company. Fiat also bought the U.S. government's stake in the automaker in June.
The Canadian and Ontario governments got the shares as part of the bailout. The governments lent Chrysler $1.7 billion US, which the company repaid with interest in May.
Canada and Ontario will get $125 million for their stock in Chrysler — about 1.7 per cent of the company's total stock, and another $15 million as the Canadian share of a deal between the U.S. Treasury Department, the United Auto Workers Retiree Medical Benefits Trust and Fiat.
The payment to the Canadian governments will be split two-thirds for Ottawa and one-third for Ontario, the governments said.
Chrysler also has repaid the U.S. government's $5.9 billion bailout loan.
Chrysler Canada employs about 7,500 people at assembly plants in Brampton and Windsor, Ont., as well as a casting plant in Toronto.