Car Makers Driving for $6 Billion Rescue Plan

The Canadian subsidiaries of the reeling Detroit Three automakers want a total of at least $6 billion in loans and credit lines from the federal and Ontario governments to stay alive, but won't go into much detail on how they would spend the money, the Toronto Star reported Saturday. General Motors of Canada Ltd., the country's biggest automaker, is seeking $800 million by year's end and $1.6 billion later, while Chrysler Canada Inc. is asking for $1.6 billion, according to sources familiar with the submissions. GM may need a further $1 billion if vehicle sales continue to slide at a rapid rate, vice-president David Paterson said. Ford Motor Co. of Canada Ltd. confirmed it would need a "stand-by" line of credit of up to $2 billion, but would use it only if necessary. The three automakers submitted restructuring plans--GM's spanned 35 pages--and the requests for rescue packages to the federal government and Queen's Park on the same day GM confirmed it will lay off workers and cut shifts. The extra money GM might need would boost the overall industry aid package to $7 billion. The historic requests come after the automakers' Detroit-based parents filed restructuring plans and requests to the U.S. Congress earlier this week for a total of $34 billion (U.S.) in aid. Read more.