Category: News

Simply letting the Big Three collapse was not an option amid a recession, housing slump and financial credit crunch, Bush said in announcing the short-term loans and demanding tough concessions from the automakers and their employees.

“By giving the auto companies a chance to restructure, we will shield the American people from a harsh economic blow at a vulnerable time,” the president said in his Saturday radio address. “And we will give American workers an opportunity to show the world once again that they can meet challenges with ingenuity and determination, and emerge stronger than before.”

The Bush administration is considering ways to provide emergency aid to General Motors Corp. and Chrysler LLC, which have said they could run out of cash within weeks without government help.

White House officials said they did not expect an announcement on any funding for the companies on Sunday or Monday. President George W. Bush made a surprise visit to Iraq on Sunday.

Even with the mandate in the recently approved U.S.-Iraq security agreement, there have been suggestions some troops would not leave urban areas. But Gen. Raymond Odierno was the first military leader to acknowledge some forces would remain at local security stations, as training and mentoring teams.

“We believe we should still be inside those after the summer,” he said the sprawling U.S. base in Balad, north of Baghdad before welcoming Defense Secretary Robert Gates on a brief visit.

The Republic Windows and Doors factory closed last week after Bank of America canceled its financing. About 200 laid-off workers responded by staging a sit-in at the plant, vowing to stay until getting assurances they would receive severance and accrued vacation pay.

Their action garnered national attention, seen by some as a symbol of defiance for workers laid off nationwide.

Efforts to tighten government regulation were gaining support on Capitol Hill, and Freddie Mac was fighting back. The baseball tickets for home opener were means of influence.

According to confidential company documents obtained by The Associated Press, Reps. Bob Ney, R-Ohio, and Paul Kanjorski, D-Pa., spent the evening in hard-to-obtain seats near the Nationals dugout with Freddie Mac executive Hollis McLoughlin and four of Freddie Mac’s in-house lobbyists.

According to lawyers for the guards, the men are: Donald Ball, a former Marine from West Valley City, Utah; Dustin Heard, a former Marine from Knoxville, Tenn.; Evan Liberty, a former Marine from Rochester, N.H.; Nick Slatten, a former Army sergeant from Sparta, Tenn.; and Paul Slough, an Army veteran from Keller, Texas.

The men are charged following the shooting of 17 Iraqi civilians in a busy Baghdad intersection. Documents in the case remain sealed but are expected to become public Monday, when the men have been ordered to surrender.

As the only Republican Cabinet member asked to stay on by President-elect Barack Obama, Gates told reporters that military commanders are looking at ways to more quickly pull troops out of Iraq in light of the 16-month timetable that was a centerpiece of the Democrat’s campaign.

He also said it will be a high priority to work with the new Congress on legislation that will enable the U.S. to close the detention center at the U.S. naval base in Cuba, where about 250 terrorism suspects are still being held.

Educators reacting to the findings questioned any suggestion that today’s young people are less honest than previous generations, but several agreed that intensified pressures are prompting many students to cut corners.

“The competition is greater, the pressures on kids have increased dramatically,” said Mel Riddle of the National Association of Secondary School Principals. “They have opportunities their predecessors didn’t have (to cheat). The temptation is greater.”

Facing prospects that one in five of the 101st Airborne Division soldiers will suffer from stress-related disorders, the base has nearly doubled its psychological health staff. Army leaders are hoping to use the base’s experiences to assess the long-term impact of repeated deployments.

The three 101st Airborne combat brigades, which have begun arriving home, have gone through at least three tours in Iraq. The 3rd Brigade also served seven months in Afghanistan, early in the war. Next spring, the 4th Brigade will return from a 15-month tour in Afghanistan. So far, roughly 10,000 soldiers have come back; the remainder are expected by the end of January.

The president-elect set no goals for reducing the federal deficit – now in record territory and headed ever higher – an obvious contrast to Monday’s announcement that he hopes to create a recession-busting 2.5 million jobs by 2010.

He spoke as he appointed Peter Orszag, currently head of the Congressional Budget Office, to be his own budget director.

The action, announced jointly by the Treasury Department, the Federal Reserve and the Federal Deposit Insurance Corp., is aimed at shoring up a huge financial institution whose collapse would wreak havoc on the already crippled financial system and the U.S. economy.

The sweeping plan is geared to stemming a crisis of confidence in the company, whose stock has been hammered in the past week on worries about its financial health.