Obama Administration completed their plan for Addtional Aid To Automakers

The Obama Administration finalize their plan to provide some more financial support to General Motors (GM) and Chrysler to ensure their sustainability in the present global financial crisis. The administration is trying to add a mechanism in the plan so that companies need to take strict cost cutting decisions to have the government fund.

GM and Chrysler already received $17.4 billion as government id to survive. In addition to this, GM asked for another $16.6 billion government aid when Chrysler asked for $5 billion.

With this government aids, the auto makers basically continue their regular activities at the time they are formulating their cost cutting strategy for future. The Obama administration already made their stand very clear that if the companies failed to formulate the required cost saving decisions then they will be disqualified for additional assistance. They mention, bankruptcy is yet an option for these two companies if they and their stakeholders don't agree to made some sacrifice. They mention, in case of their disagreement they might have to make more bigger sacrifice. US Administration basically preparing the plan to stimulated the companies cost saving process installation.

US President Barack Obama is expected to declare the plan on coming Monday.