The Treasury Department will provide as much as $5 billion in financing to struggling automotive industry suppliers to help them stay in business.
The suppliers 鈥渁re facing growing uncertainty about the prospects for their businesses and for the auto companies that rely on the parts they ship,鈥 because auto sales have fallen and credit terms have been tightened, Treasury said in a statement Thursday. 鈥淭his program will help break this cycle.鈥
President Obama鈥檚 auto industry task force continues to study restructuring plans from General Motors and Chrysler, which have been relying on federal aid to stay in business.
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