Bush Stands Ready To Help Automakers

After the Senate failed to pass the $14 billion emergency loan package for the Big 3 automakers, due to a roadblock on UAW pay cuts, the Bush Administration has come out and indicated that they are ready to help.

In a statement, the U.S. Treasury said, "Because Congress failed to act, we will stand ready to prevent an imminent failure until Congress reconvenes and acts to address the long-term viability of the industry."

White House spokeswomen Dana Perino said the Bush Administration will considering using some of the remaining funds from the $700 billion TARP.

Without government help, General Motors and (NYSE: GM) and Chrysler only have enough cash on hand to last a few more weeks. Both have hired bankruptcy advisors. Ford (NYSE: F), while it requested $9 billion in aid, is in much better shape, with enough cash on hand to last maybe another year at the current burn rate.

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