Obama: We’re willing to provide the auto industry additional aid, with conditions

President Barack Obama said today that the U.S. must help American automakers. He said that while his administration is willing to provide additional aid, the auto industry must be willing to face tough conditions under which those loans will be provided.

“We will provide them some help,” Obama said in response to a question during a town-hall meeting at the White House. “If they’re not willing to make the changes and the restructurings that are necessary, then I’m not willing to have taxpayer money chase after bad money. And so a lot of it’s going to depend on their willingness to make some pretty drastic changes.”

Obama said that the auto industry has been mismanaged for several years and that workers, shareholders, bondholders, dealers and suppliers will all have to make sacrifices.

Obama’s latest comments are the strongest hint yet from the U.S. government that General Motors and Chrysler could receive additional aid. The two automakers who have already received $17 billion are requesting an additional $22 billion.

– By: Omar Rana

Source: Detroit News