
An Obama administration official under conditions of anonymity said the President will name a task force today to oversee the remaking of the auto industry, that will be charged on evaluating GM and Chrysler’s restructuring plan over the next six weeks. These plans are due tomorrow, and include an emergency request for $3 billion from Chrysler.
This anonymous official said “The administration understands the importance of the American auto industry. It wants to work with these companies as they seek to become viable and thriving businesses. But we’re also clear-eyed about the magnitude of the restructuring going forward.”
The task force will include members from the Departments of Treasury, Labor, Transportation, Commerce, and Energy, the National Economic Council, the White House Office of Energy and Environment, the Council of Economic Advisers and the Environmental Protection Agency, the official said. It will be overseen by Treasury Secretary Tim Geithner and NEC Director Larry Summers.
The White House will not appoint a “car czar,” the official said.
Obama’s chief adviser David Axelrod signaled that the administration is willing to help the automakers stating on NBCs Meet The Press, “We need an auto industry in this country, There are millions of lives, livelihoods that depend on it. Not just at the auto companies, but spin-off manufacturers, dealers and so on. So we have a real interest in seeing the auto industry survive.”
Even Obama himself stated last week he’s prepared to “offer serious help” to the automakers so long as they did their part to meet restructuring goals.
On a related note, Bob Lutz told Automotive News that a sacrifice of Saturn appear likely to be part of GMs plan. He said “My personal favorite would be to see Saturn survive and prosper, but frankly, the reality is that that is probably not going to be the outcome.”
He also added: “We spent a huge bundle of money in giving Saturn an absolutely no-excuses product lineup, top to bottom. They had a better and fresher lineup than any GM division, and the sales just never materialized. So we have to act on that. It’s our duty.”
Source (Detroit Press) and (Automotive News)
[UPDATE 4:50 PM EST: Obama Press Secretary confirms Presidential Task Force on Autos]







