Wednesday, December 10, 2008

Bailout faces tough road in Senate

The U.S. House of Representatives passed a $14 billion aid package for General Motors and Chrysler on Wednesday evening, but the bill's prospects in the Senate are murky.
Several Senate Republicans have voiced opposition to helping the companies, and if they remain firm on that stance, they could derail the plan.
The bill needs 60 votes to pass in the Senate, which would include at least 20 Republicans.
But Sen. Bob Corker, R-Tenn., said he believed the bill has "less than a handful of votes" among Republicans, according to news sources.
"This bill is an incredibly weak bill, it's the product of an administration that wants to kick the can down the road, and I think it has minimal, very little support in our caucus," he said.
George Voinovich, a Republican senator from Ohio, supports the bill but concedes that changes must be made to it in order for it to pass the Senate, news reports said.
The package provides GM and Chrysler with $14 billion, which the companies say will last them through March. Ford Motor Co. says it only needs a $9-billion credit line. GM and Chrysler would have to grant the government stock or warrants that could give it a majority stake in either company, and also restrict executive pay and end corporate jet travel.

1 comment:

Mberenis said...

Grrrrrrrrrreat blog!!!
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My Grant Blog
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