A potential merger of
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,
reports, citing sources with direct knowledge of the talks.
The development opens the door for
, Chrysler's owner, to restart talks with the Nissan-Renault alliance. Cerberus has seen a deal with the joint venture of
as an option outside of a GM acquisition of Chrysler.
GM had approached the
in recent days about support for the merger through roughly $10 billion in funding that would have included taking an ownership stake in the merged company,
reports. But a Bush administration official said Thursday the Treasury Department wasn't negotiating direct aid for the merger.
This article was written by a staff member of TheStreet.com.