WASHINGTON — A bankruptcy filing is still possible for Chrysler LLC even in the wake of a deal Tuesday between the Treasury Department and the company's lenders to radically reduce the company's debt, sources familiar with the discussions said.

The deal, reached late Monday between the Treasury Department and representatives of Chrysler's lenders, must be approved by 46 banks, the sources said. The agreement calls for the banks to accept $2 billion in cash in exchange for wiping out about $6.9 billion of Chrysler's debt. The banks would receive no equity in the company under the deal, the sources said.

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