Obama to sell auto bailout good news in Michigan

With Americans facing a still-limping economy and potentially pivotal congressional elections in three months, the White House sees progress in the auto industry as a concrete area of improvement — and one with direct ties to the president's own actions.

To highlight that progress, which presidential aides believe has received too little attention, Obama will stop at three auto plants over the next several days, visiting General Motors and Chrysler factories in Michigan on Friday and a Ford facility in Chicago next Wednesday. Hoping to ratchet up public notice further, the White House also had the administration's top auto officials brief reporters Thursday.

Following the government-led bankruptcies of GM and Chrysler, the companies have shown signs of improvement.

"You now have all those U.S. auto companies showing a profit. They've rehired 55,000 workers. We are going to get all the money back that we invested in those car companies," Obama said in an interview aired Thursday on the ABC daytime talk show "The View."

He said the government is on track to recover all the taxpayer money his administration poured into GM, Chrysler, auto lenders and suppliers to avert a near-certain industrywide meltdown.

However, the White House said that proclamation referred only to the $60 billion spent by the Obama administration, not the additional $25 billion funneled to the industry in 2008 under the Bush administration. The most recent government estimate found that taxpayers will lose $24.3 billion on the auto bailout.

In a report on the status of the auto industry, the White House said failing to intervene would have led to the loss of nearly 1.1 million jobs. The auto industry has added 55,000 jobs in the year since the automotive bankruptcies, making it the strongest year of job growth in the industry since 1999.

The administration pointed to several signs of progress: plans by GM and Chrysler to skip the typical summer shutdown of several auto plants to meet demand for hot-selling vehicles and the addition of shifts at GM, Chrysler and Ford Motor Co. plants. The report notes that the three companies are beginning to post profits.

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