• Fiat will take a 35 percent stake in struggling Chrysler. [WSJ]
• Steve Feinberg's Cerberus Capital Management will cut 10 percent of its staff around the world. [WSJ]
• American Express's Ken Chenault plans to sell the company's stake in Chinese bank Industrial & Commercial Bank of China. [NYP]
• Bank of America may need as much as $80 billion to stay afloat. [BN]
• The hunt is still on for Arthur Nadel, the hedge fund manager from Florida who may have made off with as much as $350 million. [DB, NYP]
• Notwithstanding the bailout, top execs on Wall Street have been some of the biggest donors to the Presidential Inauguration Committee. [NYT]

What has Diane von Furstenberg been up to since she arrived in Washington over the weekend to attend the inauguration? Allow her to fill you in. [DVF]

MSNBC's Chris Matthews was forced to wait in line with the commoners. A blogger was mistaken for a prostitute. And everyone seemed to be Twittering or liveblogging. Inauguration eve was boisterous!

Vice President Dick Cheney injured his back personally torturing one last enemymoving out of government housing, into a new lair. He'll be at the inauguration in a wheelchair.

Maureen Dowd is thrilled DC is "finally integrated." To celebrate, the Times columnist made an A-list nightclub of her home then dined like French aristocracy.

[The U.S. Capitol inaugural stage where Barack Obama will be sworn in as the 44th President of the United States tomorrow; pic via Getty]

Obama's inauguration is not just his star-studded debut; it's also his first chance for a PR disaster. After the jump, a brief look at all the things that could go wrong on Day One:

With a million people in DC for the inauguration, Craigslist has, naturally, become a throbbing hub of sexxxy inaugural offer$. Even journalists are trying to elbow in on the action.

Barack, Malia, Sasha and Michelle Obama at the Lincoln Memorial for "We Are One," featuring famous performers the First Family will have to explain to one another. (Getty)

[Thousands began arriving at 8am this morning at the Lincoln Memorial, where later today Barack Obama will appear while some musicians play some songs; image via Getty]

DC's crippled panhandlers on the Obamanauguration crowd: cheapskates. [Examiner/ Wonkette]

• Kate Moss will celebrate her 35th birthday this weekend with a "four-day marathon of excess." The sight of a bunch of models standing around a giant pig on a spit at a hog roast? Priceless! [DM]
• She's no Michelle, but Oscar will be dressing Hillary for the inauguration. [People]
• Marc Jacobs, Alexander Wang, and Calvin Klein Inc. have all cancelled their Fashion Week postshow parties, alas. [WWD]
• Following in the footsteps of Saks, Lord & Taylor is now laying off staff, too. [Fashionista]
• L'eau de Brooklyn will debut in March. [BS]
• Alexander McQueen and Puma are teaming up on a new line. [Pipeline]
• Goodbye, Bush: Celebrate Bush's exit with a discounted bikini wax. [Racked]

Both Wall Street Journal columnist Peggy Noonan and Washington Post columnist Gene Robinson had special dates with Barack Obama this week. Do their columns today reflect this new intimacy with the president-elect?

• Union Prime and Onda both open today. [NYT]
• Terrance Brennan's Artisanal just added a grilled-cheese bar. Oy. [GS]
• Black Iron Burger Shop is the latest victim of the dining crime spree. [Eater]
• Bad news, coffee addicts: prices are expected to shoot up this year. [NYDN]
• Kelly Choi has signed on to host the new Top Chef spinoff. [TONY]
• A few suggestions on where to eat and drink on inauguration night. [RG]
• Were you lucky enough to earn an invite to the inaugural dinner? Enjoy the duck, pheasant, seafood stew, and apple-cinnamon sponge cake! [TFB]

The day after Obama was elected, you literally could not buy a newspaper. They were sold out! So act now and pre-order your historic Obama inauguration day copy, for only 26 times the cover price:

• Bad news: Magazine ad pages were down 11% in 2008 and 17% in the fourth quarter. Good news: They now take up less room in your bag. [AdAge]
• New York magazine is cutting editors' salaries. [ATD]
• Both OK! and the Star are laying off staff. [Jossip]
• Obama is expected to tap Julius Genachowski as FCC chair. [B&C]
• MSNBC plans to broadcast the inauguration at Starbucks locations. [NYT]
• Literary agent David Vigliano has filed suit against Lenny Dykstra. [NYP]
• John Mayer is taping a new pilot for CBS. [People]
• American Idol's debut roped in more than 30 million viewers last night, but that's down 10 percent compared to last year's premiere. [Reuters]

Tuesday's Inauguration of Barack Obama is all anyone's excited about these days. Today a super-excited school choir, from a down-on-its-luck corner of the country, learned that they get to perform during the festivities.

Next week's inauguration has spawned a flood of Barack Obama-themed items, a collection of merchandise that the Times reports runs from the cheap and crappy ("I ♥ Obama classic thong undies" for $8.99) to the indescribable in a family newspaper ("Obama sex toys"). But there are plenty of overpriced and relatively stylish items to be had, too, like the official Runway to Change $70 tote bags by Diane von Furstenberg and Tory Burch, and T-shirts by Zac Posen, Rachel Roy, and Donna Karan, who tells WWD that her "Inspire Change" shirt was meant to function as "a communication tool that would connect people to inspire change," whatever that means. Alas, the one thing inauguration-goers could really use—Obama-themed earmuffs—don't seem to exist. We'll exercise faith in the capitalist system and assume that there's an entrepreneur somewhere waiting for a shipment to arrive from China any minute.

Members of Congress, who have granted themselves the exclusive right to dole out tickets to Barack Obama's inauguration, are outraged that free marketeers on Craigslist are infringing on their monopoly. [Politico]

Staff Sgt. Derrick Brooks, 26, looks enough like the handsome president-elect that he's already kind of a big deal. Barack Obama doesn't see the resemblance. Jealous much?