Obama urges Bush to offer Big 3 immediate aid

Posted: Nov 11, 2008
Filed under: Chrysler, Ford, GM, Industry News

During his meeting with President George W. Bush, President-elect Barack Obama urged him and his administration to pass a second stimulus package to help the U.S. economy. Obama asked Bush to use the existing bailout packages to help the struggling auto industry as quickly as possible.

According to spokesman Robert Gibbs, who spoke with Automotive News, Obama did not specifically ask for help for one single American automaker.

As GM, Chrysler and FoMoCo burn through their billions monthly, the Big 3 have asked the government for up to $25 billion in loans to help prevent the collapse of the U.S. auto industry. House speaker Nancy Pelosi recently met Democratic heads to consider another $25 billion in ‘bridge financing.’

Yesterday, GM CEO Rick Wagoner said that the company needs immediate aid before President-elect Barack Obama takes office.

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  4. Obama praises Bush for auto loan, says automakers must end bad management practices
  5. Obama: Help for the U.S. auto industry is a high priority

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  • zermatt
    If I were Bush I would tell the Democrats that they get a proposal together that would outline the terms of the assistance. A proper business plan is what should be developed.

    For each of the manufacturers it would outline what car lines they would drop, what executives would be terminated, what additional concessions the UAW would make and the time line for repayment to the taxpayers.

    What is becoming apparent is GM wants to go into a financing plan without concessions. That should be a nonstarter. GM has too many things to fix and why dump money into this money pit if all they are going to do is maintain status quo.
  • Bobmarley
    fo sho.

    first step is to kill the contracts with the UAW. Thats a bailout in itself. And if GM fails then it fails, it makes zero sense to give any company money right after they have just blown all of their own (AKA bad investment).
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