Chrysler assets sale expected today

NEW YORK (AP) — Chrysler Chief Executive Robert Nardelli said he expects the sale of the bulk of Chrysler’s assets to a group headed by Italy’s Fiat Group SpA to close today, assuming the judge overseeing the automaker’s bankruptcy case approves the deal.

Nardelli testified in court Thursday that he expects the required U.S. regulatory approvals for the sale to be in place by today and international approvals to follow shortly thereafter.

But it’s likely that if U.S. Judge Arthur Gonzalez does approve the deal, attorneys representing three Indiana state pension and construction funds, which hold Chrysler debt and are aggressively opposing the sale, will appeal the decision and force the company to postpone the closing. Fiat could back out if the deal doesn’t wrap up by June 15.

Chrysler LLC on Thursday began its second day of testimony to convince a bankruptcy judge that selling itself to Fiat was the best way to avoid liquidation.

If Judge Gonzalez approves the sale, as expected, the automaker could emerge from Chapter 11 bankruptcy protection within weeks.