On May 21, 2007, Daimler announced

On May 21, 2007, Daimler announced that, as part of the deal of selling Chrysler to Cerberus, it would provide US$1 billion for Chrysler's pension plan, if the pension plan would be terminated within five years. Daimler assumed the responsibility of the pension payment as per the agreement between Chrysler and the U.S. pension Benefit Guaranty Corporation (PBGC). Commenting on Daimler's announcement, Vince Snowbarger, Interim Director of PBGC, said, "I commend both Daimler and Cerberus on their willingness to work with the PBGC, to protect the retirement security of Chrysler worker and retirees. Both Daimler and Cerberus have made significant financial commitments to strengthen Chrysler pensions Daimler has agreed to provide a guarantee of $1 billion to be paid in into the Chrysler plans if the plans terminate within five years.