WASHINGTON (AP) - The Associated Press has learned that the Obama administration plans to provide $5 billion to troubled auto suppliers who are linked to Detroit’s automakers.
Three officials with knowledge of the plan told the AP on Thursday. They spoke anonymously because the official announcement has not been made.
The $5 billion comes from the government’s Troubled Assets Relief Program, or TARP.
The administration would create a financing facility to provide funds for auto parts that large suppliers shipped to the Big Three automakers but haven’t been paid for, said a congressional aide who was briefed on the plan.
Auto suppliers have sought up to $25 billion to stabilize the battered U.S. auto industry.