Auto leaders head to Washington for loans

WASHINGTON, Nov. 6 (UPI) -- The U.S. Energy Department has said it completed its rule-making process that would allow automakers to apply for portions of a $25 billion federal loan.

The department rushed to assemble the application process to help automakers struggling in a slow economy, The New York Times reported Thursday.

With the rules in place, key industry executives scheduled a meeting for Thursday with House Speaker Nancy Pelosi to discuss the loans, the Times said.

United Auto Workers President Ron Gettelfinger, General Motors Corp. Chairman Rick Wagoner, Ford Motor Co. Chief Executive Officer Alan Mulally and Chrysler Chairman Robert Nardelli were expected to attend.

Under normal circumstances, it takes about a year for the Energy Department to establish rules for loans. Instead, Congress gave the department 60 days. The turnaround time ended up being half of that, the Times said.

The loans, which could go to foreign companies that produce cars in the United States, are not a given. The Energy Department must first evaluate each company's ability to repay the loans. The company's assets must exceed liabilities, the Times said.