Auto Industry Recovery Package Back On The Table
Looks like the Big 3 will get one last shot at it, and this time they better have a more cohesive plan.
The House Financial Services Committee scheduled a hearing for Dec. 5 at 9:30 a.m. ET to review plans by the Big Three car makers to stabilize their beleaguered companies. The Senate Banking Committee is also expected to hold a hearing on the auto industry next week, though a date hasn’t been released.
The chief executives of General Motors Corp., Ford Motor Co. and Chrysler LLC have until Tuesday to submit the plans to Democratic leaders in Congress. The executives are expected to outline a series of moves — including further cost-cutting steps — to prove to lawmakers that they would use taxpayer dollars to make their companies “viable,” as Democratic lawmakers have insisted they do. […]
Senate Majority Leader Harry Reid and House Speaker Nancy Pelosi said last week they would consider calling a special session of Congress for the second week of December if the auto makers’ plans pass muster. During the special session, lawmakers would consider and possibly vote on proposals to provide emergency aid to the industry. The auto executives are seeking $25 billion in low-cost loans.
One thing’s for sure…after that additional $20B for Citigroup earlier in the week, the car companies will have more ammo to say, “And why exactly not us?” Yes, they won’t be saying that explicitly, but that will most likely be the underlying message.
Oh, and I bet the CEOs will be flying commercial jets this time.
I would suggest sitting in coach.