White House supports compromise on auto aid

WASHINGTON (Reuters) - President George W. Bush could support a compromise bill to bail out the auto industry and Congress should pass it as soon as possible, the White House said on Thursday.

A proposal by Sen. Carl Levin, a Michigan Democrat, and Sen. Christopher Bond, a Missouri Republican, would allow the ailing auto industry to use $25 billion Energy Department loans to address its current crisis.

It was in line with what the White House had been advocating for some time.

"Their plan provides assistance from already-appropriated funds, and has strong taxpayer protections," White House spokeswoman Dana Perino said.

"While we need to review the language, this is an agreement the president could support. We encourage the Congress to pass it as soon as possible," she said in a statement.

(Reporting by Tabassum Zakaria; Editing by Sandra Maler)