Bad news for the US Auto industry. Earlier today, Chrysler announced that it will require $2bn more than it thought it would need in loans from the federal government in order to survive. GM, not to be outdone, apparently came forth with a request for $12bn more from the feds.
I think that someone is going to fail. Both GM and Chrysler still have a number of profitable brands, but who’s buying right now? I would have rather seen more money going into the stimulus to get people employed and buying things again – I understand that these companies need loans right now to keep their credit, but everything but increasing demand for cars is just a stopgap.