GM, Chrysler to get an additional $7 billion in government loans

Posted: Feb 17, 2009
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A White House official said today that General Motors and Chrysler will receive another round of government loans totaling $7 billion as previously planned. General Motors will get $4 billion in additional aid while Chrysler will get $3 billion.

Both Detroit automakers will pick up their second installment of loans today as the U.S. Treasury begins reviewing restructuring plans by the two automakers. Both will submit plans to show how their companies plan to be viable in the long-term and repay the government loans. They are expected to file with the U.S. Treasury between 4 p.m. and 7 p.m. EST.

GM has already received a total of $9.4 billion in government loans and Chrysler has received $4 billion.

Barack Obama’s top spokesman told reporters aboard Air Force One today that the President has not ruled out a government backed bankruptcy for the two automakers.

Source: MSNBC


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  • Ivan Gutierrez

    At first I really wanted them to get the money but now I'm beggining to wonder exaclty how much they're going to need to pull out of this. It seems like they're going to keep asking for more relief every three months.

  • Pat

    okay is it me or does this sound stupid? How can they just hand them another $7 billion without reviewing their plans first? I feel like sites like eGMCarTech probably deserve $1 billion each.

  • Bobmarley

    I think the additional $7 billion was part of the first bailout package as a two part package deal. But I totally agree with you, why give them another $7 now when in less then a few hours they might find out the money is going to be wasted ….when GM and Chrysler present their “viability” case

  • Allen

    Just. Let. Chrysler. Die.

    No one wants a Chrysler vehicle. Period. People may want, make actually really desire, a Japanese car, a European ride, or even a Ford. GM has given itself reason to be desired even. But Chrysler? No. Chrysler can only sell cars on the fact they have wheels, and at that, there are much better wheels out there.

    Let. Chrysler. Die.

  • Ivan Gutierrez

    At first I really wanted them to get the money but now I'm beggining to wonder exaclty how much they're going to need to pull out of this. It seems like they're going to keep asking for more relief every three months.

  • Pat

    okay is it me or does this sound stupid? How can they just hand them another $7 billion without reviewing their plans first? I feel like sites like eGMCarTech probably deserve $1 billion each.

  • Bobmarley

    I think the additional $7 billion was part of the first bailout package as a two part package deal. But I totally agree with you, why give them another $7 now when in less then a few hours they might find out the money is going to be wasted ….when GM and Chrysler present their “viability” case

  • Allen

    Just. Let. Chrysler. Die.

    No one wants a Chrysler vehicle. Period. People may want, make actually really desire, a Japanese car, a European ride, or even a Ford. GM has given itself reason to be desired even. But Chrysler? No. Chrysler can only sell cars on the fact they have wheels, and at that, there are much better wheels out there.

    Let. Chrysler. Die.