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1980: Chrysler Canada saved from bankruptcy
Broadcast Date: May 10, 1980
On the verge of closing their dealerships and factories, Chrysler Canada gets loans from the Canadian and Ontario governments in May 1980. In two television reports from CBC News, we learn about the federal financial commitment to Chrysler and the conditional commitment from the Ontario government, which combine to allow Chrysler to stay in business.1980: Chrysler Canada saved from bankruptcy
• Lee Iacocca, CEO of Chrysler at the time of the 1980 bailout, met with industry minister Herb Gray and Ontario's ministry for industry and tourism, Larry Grossman in Grossman's office on the same day. Without the participation of the province of Ontario, the company would have lost support from the Canadian government and the U.S. government. Chrysler was asking for a $50 million loan from Ontario.• Chrysler received loans of $10 million from the province of Ontario to establish a research facility. The Federal government kicked in $200 million in loans in return for $1 billion of investment by Chrysler in Canada over five years.
• On the day after the agreement was reached, the Toronto Star reported that Canada's participation was "crucial to the U.S. government's approval of $1.5 billion in loan guarantees to the parent company."
• In November 1983, Chrysler introduced the Dodge Caravan and Plymouth Voyager minivans, two of the most popular vehicles in the automaker's history. Both vehicles were built at the company's Windsor mini-van plant.
1980: Chrysler Canada saved from bankruptcy
Medium: Television
Program: The National
Broadcast Date: May 10, 1980
Guest(s): Herb Gray, Larry Grossman
Anchor: George McLean
Reporter: Terry Milewski, Bruce Cameron
Duration: 3:35
Last updated:
May 1, 2009
1980: Chrysler Canada saved from bankruptcy.
The CBC Digital Archives Website.
Canadian Broadcasting Corporation.
Last updated: May 1, 2009.
[Page consulted on Feb. 12, 2012.]