“Big 3” U.S. automaker CEOs seek $50 billion more in bailout loans

November 7, 2008 by · Leave a Comment
Filed under: Policy News 

First they wanted $25 billion for plant upgrades and now they need another $50 billion in emergency loans.  They really need to get on the ball and make the cars that we needs and get electric on the road.  They are burning thru $3 billion a month in this weak auto market.  I understand that it supports many jobs in our economy, but if we are going to support these failing companies, I want to make sure we have them operating in a better direction.  We already have to issue a bunch of treasuries for other credit facilities.  This is going to put additional strain on our foreign creditors.  


Chief executives of distressed U.S. auto companies sought a $50 billion federal bailout on Thursday to survive a financial crisis blamed on a worsening economy and the “near collapse” in demand for cars.

 Rick Wagoner of General Motors (GM), Alan Mulally of Ford Motor and Bob Nardelli of Chrysler wore heavy faces while trudging through the deserted halls of Congress where they held long meetings with House Speaker Nancy Pelosi and Senate leader Harry Reid.

The three executives took back stairways and side elevators to avoid reporters, and said nothing when approached. Wagoner and Mulally were reluctant to talk ahead of Friday’s quarterly earnings, which analysts expect to be dismal.

GM and Ford said in separate statements their meetings with Reid and Pelosi were frank and constructive. GM called for “immediate funding,” while the United Auto Workers (UAW) said there was “an urgent need” for federal assistance.

It is unclear whether Congress can or is willing to put together a package of loans with virtually no time remaining on the legislative calendar and an overall reluctance by the White House to bail out Detroit.

Source: Reuters

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