Chrysler's bankruptcy and merger with Fiat

Chrysler, the smallest of Detroit's three major automakers, entered the 2008-09 crisis with a weaker balance sheet and thinner model lineup than GM or Ford, and received its first emergency government loans in December 2008 alongside GM as US auto sales cratered. Unlike GM, which the Treasury judged could be restructured on its own, officials determined Chrysler needed a stronger industrial partner to survive and helped broker an alliance with Italy's Fiat, which took an initial stake in the restructured company without paying cash, instead contributing small-car technology and manufacturing expertise Chrysler lacked. Chrysler filed for Chapter 11 bankruptcy protection on April 30, 2009, and emerged just over five weeks later, on June 10, with Fiat as its operating partner and the US Treasury providing up to $12.5 billion in financing. Treasury recovered more than $11.2 billion of that commitment through repayments and share sales, ultimately losing about $1.3 billion on the rescue when it exited its remaining stake in 2011, before Fiat completed a full merger with Chrysler in 2014.