GM, Chrysler Merger Talks on Hold: Report

A potential merger of General Motors (GM Quote) and Chrysler has hit an impasse after the Bush administration ruled out funding for a deal, according to a published report.

This puts any merger of the struggling automakers on hold until after the U.S. presidential election, Reuters reports, citing sources with direct knowledge of the talks.

The development opens the door for Cerberus, Chrysler's owner, to restart talks with the Nissan-Renault alliance. Cerberus has seen a deal with the joint venture of Nissan(NSANY Quote) and Renault as an option outside of a GM acquisition of Chrysler. ...