December 19th, 2008
09:29 AM ET
6 years ago

Bush announces auto rescue

 Bush announced an auto bailout plan Friday morning.
Bush announced an auto bailout plan Friday morning.

NEW YORK (CNNMoney.com) - President Bush announced a rescue plan for General Motors and Chrysler LLC Friday morning that will make $13.4 billion in federal loans available almost immediately.

A senior administration official briefing reporters said he expects that GM and Chrysler LLC will be signing the loan papers to access the cash later Friday morning.

The money will come from the $700 billion fund set aside to bailout Wall Street firms and banks in October.

With these loans, Treasury will have committed virtually all of the $350 billion of that fund that it can hand out without additional authorization from Congress. Once Congress releases the other $350 billion, the two automakers will be able to borrow an additional $4 billion.

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Filed under: Auto Bailout • President Bush
soundoff (141 Responses)
  1. donny

    Again, $700 billion to the banks and insurance companies and not one question about what they are going to do with it. Yet, some people can't stand to see 2 auto companies get 13.4 billion to save millions of jobs. Where is all the anger against the financial segment of our economy? They steal us blind and not one peep out of the anti auto loan people about that.

    December 19, 2008 12:58 pm at 12:58 pm |
  2. bob j

    i think pres bush did a good thing on this we need the big 3 and auto workers need jobs now its time for these companies to get real and become profit machines but we as taxpayers need a bailout to the govt should put in place safeguards for all consumers who are facing or have faced repos or foreclosures its not the avg american fault when they loose their job due to this economy

    December 19, 2008 01:07 pm at 1:07 pm |
  3. RinFL

    December 19th, 2008 11:10 am ET
    Your comment is awaiting moderation.
    How loud would you cry if it was your job in question? I will bet loud and clear and at such a fever pitch that all could hear. What do you all not understand about a bridge loan? The entire concept would be my guess. Many a corporation in this country has operated on the premis that if the next quarter can look good than all is OK. To do this they have rolled over their short term debt into a new term over and over for years. Due to the fact that the financial industry has screwed the pooch that option is now not availiable. They have been given the money so that they would perform their functions in the financial industry. Have they? hard to tell. They have continued to pay divi and bonus so where is your outrage about that? You all need to wake up and realize that things are WAY worse than you think and that your moronic conservative ideals have been proven as falicy. As a matter of fact thats what got us where we are now. Nothing but low information morons who spend their time in the echo chamber of right wing hate radio would be my guess. FOOLS and TOOLS the lot of you!!

    December 19, 2008 01:07 pm at 1:07 pm |
  4. Milhouse van Houten

    Look at that picture,talk about the proverbial"deer caught in the headlights"look.It's o.k. Shrub,only four weeks until it's all somebody elses' problem.

    December 19, 2008 01:10 pm at 1:10 pm |
  5. rightwinger

    Bush should be impeached for this kind of socialistic maddness!!

    December 19, 2008 01:19 pm at 1:19 pm |
  6. ed

    i am a 50something production worker raising a family, am i to understand that my tax money will be used to pay pension and health care for retired auto workers younger than i am, please dont tell me that

    December 19, 2008 01:24 pm at 1:24 pm |
  7. Lauren

    Hey, All you Bush bashers. All of you who are slamming George for giving the bailout money away,,,,

    Obama just came out and PRAISED the money Bush is giving, saying it is great.

    So ,, what makes Obama any better?

    December 19, 2008 01:30 pm at 1:30 pm |
  8. Matt

    I CAN HAZ BAILOUT TOO?

    December 19, 2008 01:34 pm at 1:34 pm |
  9. Ray Fisher

    You go Georgie, as far away as possible!!!

    December 19, 2008 01:39 pm at 1:39 pm |
  10. themoi

    Next car buy foreign-Toyota, Honda. Not U.S.

    December 19, 2008 01:43 pm at 1:43 pm |
  11. Ghost

    People have been saying what the govt's actual job is. Can anyone tell me exactly what it is? I was under the impression that it was to server it's citizens. I know that's a broad statement, but I think this falls under that.

    All of you screaming about spending this money now should look at the future picutre of spending it later in unemployment, welfare, etc.

    I live in Ohio and they are already extending the X-mas break for an additional 2 weeks in most plants around here. Lay offs are expected in many folks paychecks as we speak.

    December 19, 2008 01:50 pm at 1:50 pm |
  12. Frustrated in NY

    I expected Bush to finally do something right, but nope he failed again.

    December 19, 2008 01:51 pm at 1:51 pm |
  13. Dr. Stoner

    SHUT UP YOU MEAT HEAD INEPT, INCOMPETENT, SELF CENTERED MORON.GO BACK TO TEXAS AND LEAVE US PLEASE JUST LEAVE US.

    December 19, 2008 02:02 pm at 2:02 pm |
  14. proud army navy mom

    To Pat:

    I wouldn't call what I feel about the bush administration hate, I would call it sheer disgust.

    This so called commander of our US military placed our young military personnel in harm's way all because of deceit and ignorance.

    Over 4200 of our troops are dead because of a lie! Cheney proudly proclaims that he authorized torture, which further harm our soliders, but we are supposed to forgive and forget because they are leaving office. I don't think so. The whole lot of them should he brought up on charges, not swept under a rug. I am being a voice for those who have lost their own.

    December 19, 2008 02:17 pm at 2:17 pm |
  15. Anonymous

    Yay!! More wasted money...yay! Bailout the doltish labor unions!!!

    December 19, 2008 02:22 pm at 2:22 pm |
  16. issues all day tol,ohio

    one way or another tax money will be involved. give a loan or pay unemployment, welfare to the millions of people out of work. no one said anything when trillions was thrown at wall street. all of you who think these auto workers make too much and want them to lose their jobs, i hope u lose yours. i work in health care and it will only be months before health insurance runs out and we will feel it from lowered admissions. everyone will feel it. health care preimums will go up and we will all pay!!!!!!!!!!!!!!!!!!!!!!!!!

    December 19, 2008 03:37 pm at 3:37 pm |
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