"Our hope and expectation, and the president has said, [is that] the bankruptcy would be quick, not result in liquidation and Chrysler would come out the other end a company ready, leaner, and able to compete," Vice President Joe Biden said on CBS' The Early Show Thursday.
A tentative deal was struck last week with Chrysler's major debtholders, but negotiations disintegrated Wednesday night as the 46 smaller hedge funds holding a 30 percent stake in the automaker held out for a better deal.
Biden said that while there were no plans to pump more government aid into the car company, he left the door open for more assistance after a successful restructuring through bankruptcy.
"After that, and Chrysler is out, and retooled and re-engineered, basically, reorganized, that will remain to be seen. But there's not any plan now for more aid," he said.
You can watch video of the interview below: