Feds Weigh $10B in Emergency Auto Aid. ByDavid Shepardson, Detroit News, December 16, 2008. "The Treasury Department is leaning toward granting GM and Chrysler loan package of roughly $10 billion that would allow them to survive into February, putting pressure on Congress to act to add funds. Talks between the automakers and Treasury are continuing, but no announcement of a deal is expected until at least Wednesday. One auto official said Treasury is considering 'a bridge to a bridge loan' rather than the full amount sought by automakers... The Treasury is considering using some or all of the remaining $15 billion of the first $350 billion of the $700 billion Wall Street rescue, the Troubled Asset Relief Program, to help GM and Chrysler avoid collapse. GM says it needs $4 billion this month and $4 billion next month, while Chrysler says it needs $4 billion to stay alive through March 31. Treasury Secretary Henry Paulson told Fox News on Monday that automakers wouldn't be allowed to fail. 'The president made a decision that he didn't want to see, we didn't want to see a failure of an auto company. So we're right now exploring the options, and we're evaluating the situation, and we're in the process of making some decisions,' Paulson said."
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