The U.S. Supreme court has delayed the sale of Chrysler to Fiat. The Supreme Court wants more time to consider opposition to the sale by three Indiana state pension and construction funds. Bloomberg reports the Fiat's CEO Sergio Marchionne says they won't walk away from the deal despite a June 15 deadline.
Moments after her order was issued, Fiat Chief Executive Officer Sergio Marchionne said in a telephone interview that the company will "never" walk away from the deal. The company previously set a June 15 deadline for completion.
A federal appeals court in New York last week allowed the sale, while putting its decision on hold until 4 p.m. today to let opponents including Indiana pension funds seek Supreme Court intervention.
Ginsburg's one-sentence order today said the bankruptcy court orders allowing the sale "are stayed pending further order" of the Supreme Court. That language leaves open the possibility that the justices might clear the deal to go forward in the next several days.
Bloomberg's article says the Obama administration has downplayed concerns that the deal won't go through. A top Obama administration lawyer has also urged the Supreme Court to allow Chrysler's bankruptcy to proceed.
Bloomberg reports that General Motors Corp. and Citigroup Inc. have been removed from the Dow Jones Industrial Average and replaced by Cisco Systems Inc. and Travelers Cos.
GM, which filed for bankruptcy protection today, and Citigroup, the recipient of $45 billion in taxpayer aid, became the first companies since American International Group Inc. in September to leave the 30-stock average. Their shares have lost more than 90 percent since the start of 2007.
By replacing GM with Cisco, Dow Jones & Co. has removed automakers from the best-known benchmark for U.S. stocks, saying in an e-mailed statement that computers are as central to the economy as cars were in the previous century. Citigroup, until last year the world's biggest financial firm by assets, is being replaced by a company it jettisoned in 2002 and that was once run by its former chairman, Sanford "Sandy" Weill.
"This announcement brings front and center the challenges facing the U.S. economy as it strives to remain competitive," said Alan Gayle, director of asset allocation at Ridgeworth Investments, which manages $60 billion in Richmond, Virginia. "The Dow Jones Industrial Average is becoming less of an industrial average. It's trying to reflect the broader economy."
GM's shares recently fell below the 75 cent mark and Citigroup has traded below $5 a share since mid-January.
OPEC has decided not to change its production output during its meeting earlier this week. It wasn't a surprise to oil analysts. OPEC cut production last fall. Oil prices have been rising lately as the world hopes for an economic recovery. A UPI story says there is concern an oil price push could threaten a world recovery. However, it still remains to be seen if the economy really is recovering - job losses continue to be very high.
The U.S. Supreme court has delayed the sale of Chrysler to Fiat. The Supreme Court wants 
Bloomberg 