After announcing several plans to get the economy back on track, President Obama is set to announce his plans on how to help the ailing automotives industry. Detroit’s Big 3 (General Motors, Ford and Chrysler) have all been trying to stave off crashes since last year.
GM’s Rick Wagoner met with the administration’s task force to discuss the next steps to get the company into shape with government aid. GM has been doing better for the past two weeks, with its stocks gaining almost 6 percent.
White House spokesperson Robery Gibbs said, “The president’s autos task force is meeting today. I think they are winding down the decisions that have to be made and putting in place a plan that the president will announce on Monday. The president, I think, will outline what he thinks is the best way forward to achieve viability for the companies in both the short term and the longer term.”
GM and Chrysler have been given $17.4 billion as bailout money. Chrysler, has been, in fact, bought out by Italian automaker Fiat. Ford is the least hit of the 3 but is still challenged by the sales slump that has hit the industry across the world.
Suppliers, which are critical to the industry are also set to receive $5 billion in aid.
Source: CNN Money
