Democrats Urge Paulson to Weigh Aid For Automakers

The top congressional Democrats urged Treasury Secretary Henry Paulson on Saturday to consider providing aid to troubled U.S. automakers as part of the Bush administration's corporate bailout efforts.

The letter from House of Representatives Speaker Nancy Pelosi and Senate Majority Leader Harry Reid recommended "strong conditions," possibly equity stakes and limits on executive compensation, in return for any help. The government is requiring similar steps in its rescue of banks.

"We must safeguard the interests of American taxpayers, protect the hundreds of thousands of automobile workers and retirees, stop the erosion of our manufacturing base, and bolster our economy," Reid and Pelosi said.

President George W. Bush's administration has never embraced a bailout for automakers and has urged industry to take advantage of other loan assistance approved by Congress this year.