WASHINGTON (Reuters) - Long-term financial assistance for the ailing automakers should only be provided to those that are carrying out plans for long-term viability, the White House said on Monday in response to draft legislation by Democrats to bail out car manufacturers.
“Long-term financing must be conditioned on the principle that taxpayers should only assist automakers executing a credible plan for long-term viability,” said White House spokeswoman Dana Perino.
“We’ll continue to work with members (of Congress) on both sides of the aisle to achieve legislation that protects the good faith investment by taxpayers,” she said.
Earlier a White House source expressed concern that the draft legislation did not meet Bush administration demands that only viable firms would get government aid.
Reporting by Jeremy Pelofsky; Editing by Bill Trott