TIMELINE: Auto rescue plan massive and relatively quick
(Reuters) - While the dollar value is substantial -- $13.4 billion for General Motors and $4 billion for Chrysler LLC -- Washington moved relatively quickly in throwing a lifeline to the struggling car industry.
The Following is a chronology of that effort:
Nov 17 - U.S. Senate Democrats propose legislation authorizing $25 billion in rescue loans for manufacturers and suppliers by amending an existing $700 bailout law created to help distressed financial services companies. The White House and many Republicans oppose this approach.
Nov 19 - Chief executives from General Motors Corp, Ford Motor Co and Chrysler LLC plead for $25 billion in assistance to help pay suppliers, workers and other expenses at a time when car sales have plunged along with a souring economy. But skeptical lawmakers blast them at hearings for flying private jets to Washington and failing to make personal sacrifices in exchange for government help.
Nov 20 - Congress does not consider bailout legislation as consensus eludes lawmakers; effort dissolves amid sharp political criticism of executives. Democratic leaders ask companies to resubmit aid request along with plans for making their companies competitive.
Dec 2 - U.S. automakers submit plans for survival, including promises to build more fuel-efficient cars, ax unpopular brands, cap executive compensation, reduce the number of dealers and restructure union agreements. Aid request rises to $34 billion. Ford says it wants line of credit for possible future needs, not immediate loans.
Dec 3 - President-elect Barack Obama calls automaker rescue plans "more serious" but declines to discuss where bailout money should come from.
Dec 4-5 - America's auto executives testify for a second time, driving to Washington instead of flying. Luxury jets are grounded and the CEOs agree to work for $1 a year.
Dec 5 - Congressional Democrats and the White House reach agreement on emergency aid after U.S. employers cut more than 533,000 jobs in November, the highest monthly job loss in 34 years.
Dec 10 -- The U.S. House of Representatives votes to approve $14 billion in bailout loans to avert a threatened collapse of one or more of the major car companies in exchange for restructuring.
Dec 12 -- The Senate fails to act on bailout, leaving the Bush administration as the last chance for government help this year.
Dec 19 - President George W. Bush announces $17.4 billion in emergency loans, says it would be irresponsible in a time of economic crisis to let car makers fail. Money will come from TARP program through March 31.
(Reporting by Diane Bartz; Editing by Andre Grenon)
