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| Version 1 | Version 2 |
|---|---|
| Clash over $25bn car firm bailout | Clash over $25bn car firm bailout |
| (about 2 hours later) | |
| Democrats and Republicans have clashed over a $25bn (£17bn) bail-out plan for the biggest car firms in the US. | |
| Ford, Chrysler and GM have all been hit by the slowdown, but aid proposals are falling victim to a fight over where the money should come from. | |
| Democrats want the money to come from the $700bn rescue package for the US financial industry. | Democrats want the money to come from the $700bn rescue package for the US financial industry. |
| The White House and Republicans say the cash should come from money approved to develop more fuel-efficient vehicles. | The White House and Republicans say the cash should come from money approved to develop more fuel-efficient vehicles. |
| Democratic majority leader, Harry Reid, criticised Treasury Secretary Henry Paulson for refusing to adapt the huge bank bail-out to help the car industry. | Democratic majority leader, Harry Reid, criticised Treasury Secretary Henry Paulson for refusing to adapt the huge bank bail-out to help the car industry. |
| "All it would take is one stroke of a pen and that problem would be solved," he said. | "All it would take is one stroke of a pen and that problem would be solved," he said. |
| However, the White House says the special rescue funds for the banks are not the answer, and has called on Congress to adapt an existing $25bn car-industry loan programme. | However, the White House says the special rescue funds for the banks are not the answer, and has called on Congress to adapt an existing $25bn car-industry loan programme. |
| A White House spokesman insisted that the administration did "not want US automakers to fail". | A White House spokesman insisted that the administration did "not want US automakers to fail". |
| Rescue plan | Rescue plan |
| On Sunday, Rick Wagoner, GM's chief executive, said there was "a high degree of urgency" for government support if his firm were to avoid a financial crisis. | On Sunday, Rick Wagoner, GM's chief executive, said there was "a high degree of urgency" for government support if his firm were to avoid a financial crisis. |
| Last week, Bob Nardelli, the chief executive of Chrysler, said it would be "very difficult" for the company to survive without federal aid. | Last week, Bob Nardelli, the chief executive of Chrysler, said it would be "very difficult" for the company to survive without federal aid. |
| United Auto Workers president, Ron Gettelfinger, said the issue was not just about the three large US cars manufacturers. | United Auto Workers president, Ron Gettelfinger, said the issue was not just about the three large US cars manufacturers. |
| "It's about thousands of small and medium-size businesses - employing millions of workers - that provide parts, logistics, research, engineering and other goods and services," he said. | "It's about thousands of small and medium-size businesses - employing millions of workers - that provide parts, logistics, research, engineering and other goods and services," he said. |
| Chrysler, Ford and GM have all been hit by falling US sales and growing losses | Chrysler, Ford and GM have all been hit by falling US sales and growing losses |
| A two-day Senate hearing on the state of the US car industry will begin on Tuesday. | A two-day Senate hearing on the state of the US car industry will begin on Tuesday. |
| All three companies have rejected bankruptcy as an option. | All three companies have rejected bankruptcy as an option. |
| GM, Chrysler and Ford employ about 250,000 people in the US, and claim that they support about four million other jobs. | GM, Chrysler and Ford employ about 250,000 people in the US, and claim that they support about four million other jobs. |
| However critics say that any rescue plan would be unfair, and make it harder for the big US car companies to introduce necessary changes. | However critics say that any rescue plan would be unfair, and make it harder for the big US car companies to introduce necessary changes. |