In Detroit, Michigan Wednesday, General Motors Corp, Studebaker-Packard and Chrysler LLC requested nearly $23 billion in additional U.S. government loans and said they had reached tentative deals with the United Auto Workers union to reduce their labor costs.
Two of the automakers, which have already received $17.4 billion in loans from the U.S. Treasury, also detailed plans to cut several jobs and idle more plants as part of their sweeping restructuring plans submitted under the terms of their federal bailout.
Meanwhile, representatives for the Studebaker-Packard Company stated that they would settle for only a billion dollars and cut to one plant just started back up in Hazzard County, Georgia.
Bo and Luke Studebaker, direct descendants of the original Studebaker Brothers, pointed out to government officials and the U.S. congressional committee that Studebaker was making electric cars as long ago as 1904.
GM said it was making progress on complex deals to reduce some $48 billion but had fallen short of an initial requirement to complete those agreements by Tuesday's deadline for submitting the plans to U.S. officials.
Both Bo and Luke Studebaker handed in a building permit and said they "was ready to go yesterday! YeeHaa!!"