Chrysler to Move Through Bankruptcy in a ‘Few Months’: Nardelli

Chrysler failed to gain the full support from its lenders and finally faced Chapter 11 on Thursday. However, CEO Robert Nardelli told CNBC that he thinks the troubled auto company can move through the bankruptcy in "the next couple of months."

“Given where we were, [bankruptcy] ended up being the only solution,” said Nardelli. “Not one that I would have chosen first, but a decision we had to make.”

(Watch the accompanying video for the full interview with Robert Nardelli...)

Nardelli also said he will step down after the company emerges from bankruptcy protection. He added that the Treasury Department did not ask him to resign, but he felt it would be an appropriate time to leave.

“[Bankruptcy] is something that will allow us to emerge in a leaner fashion,” said Nardelli. “We will be able to leave some asset, liabilities and debt behind.”

Chrysler entered into an alliance with Italian automaker Fiat where it sold a stake starting at 20 percent and in which Fiat can become the majority owner once the government loans are repaid.

Nardelli said the new company will be run by a nine-person board, with six picked by the government and three by Fiat. The board will pick a new CEO.

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—AP contributed to this report.

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