CHRYSLER &lt;C> RENAULT DELAY AM MOTORS &lt;AMO> PACT
  Chrysler Corp and Regie Natiionale des
  Usines Renault said they agreed to extend by up to two weeks
  the period for reaching definitive agreement on Chrysler's
  proposed 1.5 billion dlr takeover of American Motors Corp.
      The letter of intent signed by Chrysler and Renault on
  March nine set April nine as the target date for completing
  negotiations.
      However, the letter also allowed room for an extension of
  that date to April 23 if an agreement could not be reached.
      The two companies said they "now plan to complete work by
  April 23."
      Chrysler and Renault said, "Given the complex nature of the
  deal, the need for additional time was to be expected."
      The March letter of intent between the two companies says
  that Chrysler could ask Renault to extend the agreement date
  "in the event that prior to April 9, 1987, Chrysler discovers
  an unforeseen problem in the course of its 'due diligence'
  investigation of the company," referring to American Motors.
      A Chrysler spokeswoman would not say whether some problem
  had cropped up in the talks. She stuck by the company's
  statement that more time was needed because the talks are
  complex. "That is our definition of the delay," she said.
      Under the previous agreement between Chrysler and Renault,
  their letter of intent would be terminated on April nine or
  when an agreement was reached. But the letter could be amendend
  by a written agreement by both companies.
      The Chrysler spokeswoman said, "We are still working toward
  a definitive agreement." Said another Chrysler official who is
  not part of the talks but who would be told if the deal were in
  trouble: "There are no glitches."
      Analysts also downplayed the significance of the delay. "I
  can't visualize where they wouldn't want it to be done," said
  Donaldson Lufkin Jenrette analyst Richard Henderson.
  

