General Motors of Canada Ltd. and Chrysler Canada Inc. won’t start receiving up to $4 billion in government loans until the middle of the month after the companies requested a deferral.
The federal government confirmed yesterday that Ottawa and Queen’s Park agreed to the request for the two-week delay in distribution of the loans, which was previously scheduled to begin Dec. 29.
Officials for both companies and the governments would not comment on the reasons for the requests for deferrals or any outstanding issues in talks.
GM was to get $800 million on Dec. 29 in the first of three instalments and another $2.2 billion by Feb. 27. Chrysler was to get an initial $400 million and another $600 million in instalments.
