Tide Posted January 3, 2007 Share Posted January 3, 2007 DaimlerChrysler and insurers agree on settlement payout Filed under: Government/Legal, DaimlerChrysler http://www.blogsmithmedia.com/www.autoblog.com/media/2007/01/2995562.jpgDaimlerChrysler has finally reached an agreement with its insurers that finally determines who is paying what in a settlement of a lawsuit filed by the automaker's investors over the nature of the merger that created company back in 1998. Chrysler stock holders originally argued that the Daimler-Benz deceived them when describing the joining of both companies as a "merger of equals" and sought an outrageous $22 billion in damages. The lawsuit quotes then DaimlerChrysler head honcho Jürgen Schrempp (shown at right) as saying in a 2000 interview that calling the deal a merger rather than a takovoer was for "psychological reasons" only. That slip of the tonght cost Schrempp and the company as a whole, which was counting on Schrempp's liability insurance to cover most or all of the $300 million settlement that was reached. Many of the company's insurer's, however, refused to pay. Originally the insurers coughed up $25 million, forcing DCX to pay the rest. Of the remaining $228 million left to be payed on the settlement, the Associated Press is now reporting that insurers insurers have agreed to pay for over $223 million. [source: Associated Press via International Herald Tribune] Read | Permalink | Email this | Comments BOLD MOVES: THE FUTURE OF FORD A new documentary series. Be part of the transformation as it happens in real-timehttp://ad.doubleclick.net/imp;v1;f;44404524;0-0;0;13519409;1%7C1;17996600%7C18014495%7C1;;cs=t%3Fhttp://m.doubleclick.net/dot.gif http://feeds.autoblog.com/~f/weblogsinc/autoblog?i=HqYXKsk1</img> http://feeds.autoblog.com/~f/weblogsinc/autoblog?i=O1yd6gi9</img> http://feeds.autoblog.com/~r/weblogsinc/autoblog/~4/69979470 Read More... Link to comment Share on other sites More sharing options...
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