Word on the street is that President elect Barack Obama spent some time in the oval office yesterday with current President Bush talking about the auto industry, and the junior Senator from Illinois urged the President
to address the automakers' dire situation post haste. The President seems to be on the same page, with word coming out of the White House that it would consider a congressional proposal to carve out $25 billion of the nation's $700 billion bailout plan just for the auto industry. That's in addition to the already approved $25 billion worth of low-interest loans
to automakers, the distribution of which may also get sped up considerably. Those low-interest loans may even get restrictions lifted that were to ensure they be spent on green cars and retooling factories, but now may be used for anything the domestic automakers deem most prudent. Nothing's final until it goes though Congress and gets the President's approval, but it would seem the considerable squawking coming from General Motors for federal aid has reached the ears of those who may actually do something about it. Whether they should or not is still an open debate.
[Source: Automotive News
- sub. req'd, Jalopnik
, Photo by JIM WATSON/AFP/Getty]