Henry Paulson, Secretary of the United States Treasury, said that automakers will soon receive their emergency loans, but the Treasury Department is still talking to automakers and banks before it officially loans out money to General Motors and Chrysler LLC. The loans could come as early as Friday, reports out of Washington, D.C., indicate.
“The automakers will get the money as quickly as we can prudently do it,” Paulson said during an interview on CNBC. “We need to do this, but we need to do it right.”
President George W. Bush echoed Paulson.
“We’ll try to get this done in an expeditious way,” Bush said. He told CNN that the country is in the midst of “a huge recession,” but that he doesn’t want to further worsen the economy by letting the automakers collapse.
“On the other hand, I’m mindful of not putting good money after bad,” Bush said during the interview. “So we’re working through options.”
The Treasury is in the middle of deciding how much of the $15 billion leftover from the TARP funds given to Wall Street that it would allocate to the automakers.
The Treasury is concerned that it will have enough money left to inject into banks between now and the close of the Bush administration in January.
12/17, 9:57 AM
posted by:
Borat
…and Wagoner will take Lutz to corporate meeting in Australia: nice and worm there now, far from reporters…
12/17, 10:15 AM
posted by:
schumann
Amazing mathematics of LLN: GM+Chrysler=Big 3
12/17, 10:28 AM
posted by:
Borat
I think it is because Ford chooses to stay in the shade at the moment; but reality is that Ford will request help after GM & Chrysler will get it. Ford as healthy as GM with 2-3 months worth of cash. They are doomed as well. Even our elected officials understand this and there is no point of being creative and give 25 bils to GM & ChryCO and then look around and keep on passing resolutions in 2-3 months for Ford. We don’t want our congress & senate to be as inefficient and stupid as our domestic auto industry.
12/17, 10:34 AM
posted by:
Lariat Luxury Locomotive Liner No.3
Had they simply filed for bankruptcy they could have been deep into reorganizing, negotiating, and determining where they were headed—if at all. Chrysler, a privately held company who can pull from Cerberus’ other holdings, does not deserve to be included in any of this funding, period. Now, the entire world knows they are on life support. How does this bode with potential customers verses bankruptcy?
12/17, 11:02 AM
posted by:
Borat
LLL3, if “they” had shown any sign of intelligence during past years, instead of only greed, we would not have this topic to discuss. This is why I find it so vile.
12/17, 11:10 AM
posted by:
Lariat Luxury Locomotive Liner No.3
verses = versus
12/17, 12:25 PM
posted by:
RaineMan
I still can’t believe that the Govt. is willing to bail out Chrysler while Cerberus has plenty of money they could throw into it.
12/17, 5:00 PM
posted by:
yarddog82abn
let’s just get this over with……..