Chrysler to Reinstate 50 Dealers it Tried to Eliminate During Restructuring

AUBURN HILLS, Mich. -  Chrysler says it is making offers to reinstate 50 dealers it was previously trying to drop.

Chrysler Group LLC had been in arbitration with the dealers, which had protested the company's decision to drop them while it was under bankruptcy protection. Chrysler now says letting the 50 dealers stay will have limited impact on its remaining dealerships.

Chrysler sought to cut 789 dealers from its network as part of its bankruptcy restructuring last year. But many had been appealing the decision.

Earlier this month, General Motors Co. agreed to reinstate 661 dealers who faced franchise terminations. GM had been trying to drop some 2,000 dealers from its network.