An Obama administration task force considering the fate of General Motors and Chrysler is discouraging bankruptcy protection as an option for the struggling companies, two senators said Tuesday.
Michigan Democratic Sens. Carl Levin and Debbie Stabenow said they argued against bankruptcy as a way to restructure GM and Chrysler. In meetings Tuesday with members of the panel, the lawmakers said Obama's team did not push bankruptcy as a viable choice.
"I think they agreed that nobody should be talking about bankruptcy," Levin said. "That's not their goal. They don't want to exclude anything but that's not what their goal is."
Stabenow said the task force was in a "fact-finding mode" and had also met with auto suppliers on Monday. The senator said she "strongly discouraged" bankruptcy as a way to revamp the two companies, which are living off $17.4 billion in loans and are seeking an additional $21.6 billion.