Despite some predictions that the Bush administration would announce a rescue plan for the auto industry on Wednesday, the day passed without the plan being unveiled. Treasury Secretary Hank Paulson did say that they were working on the plan and the announcement was imminent:
A government bailout for U.S. automakers was being assembled as quickly and carefully as possible, Treasury Secretary Henry Paulson said on Tuesday as a new ratings report showed that bankruptcy was the most likely restructuring scenario for the industry.
The Bush administration came under renewed pressure from fellow Republicans who urged the government extract stiffer concessions from labor and other groups than Democrats and the White House previously agreed were needed to qualify for aid.
“The automakers will get the money as quickly as we can prudently do it,” Paulson said in interview on CNBC television. “We need to do this, but we need to do it right.
With Chrysler announcing that they will close all of their plants for the next month, time may be of the essence.
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