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Chrysler's main creditors reach deal with U.S.; others hold out

The U.S. Treasury Department has reached a tentative debt-reduction agreement with Chrysler's main creditors but still must get other lenders to sign on for the deal to take effect, three people with knowledge of the talks said today. The accord with JPMorgan Chase, Citigroup, Goldman Sachs and Morgan Stanley would reduce Chrysler's $6.9 billion debt to $2 billion, which would be repaid by Chrysler in cash, they said.

Chrysler eight-speed gearbox to boost big sedans' fuel economy

Chrysler Group says its new eight-speed automatic transmission will be the first offered on domestically produced automobiles and will boost fuel economy and cut emissions of the company's two full-sized, rear-drive sedans. The transmission initially will be available on 2012 Chrysler 300s and Dodge Chargers powered by Chrysler's 292-hp Pentastar V6 engine, the automaker said Thursday in a statement. The cars are being assembled and will start arriving in dealerships by Oct.

Infiniti G lineup anchored by smaller V6

Infiniti is adding a smaller V6 to its G sedan for the 2011 model year. The G25 sedan becomes the base model for the G line, which includes a coupe and a convertible. The G25 goes on sale in September with a base price of $31,825, including an $875 destination charge.