DETROIT — General Motors and Chrys ler are to submit plans to the Treasury Department today to show how they will repay billions in government loans and become viable again.
On Monday, General Motors was making progress in concession talks with debt holders and its main union, according to people briefed on the situation.
But few details were emerging from talks at GM or Chrysler, and sources said deals may not come until after the deadline passes.
Two people briefed on the GM plan reported progress toward a deal with the United Auto Workers. Both spoke on condition of anonymity because the negotiations are private.
But UAW legislative director Alan Reuther said Monday he does not expect labor agreements in time for today’s deadline.
One of the people briefed on GM’s plan said some parts, such as bondholder and labor agreements, probably won’t be complete by the time the plan is submitted to the Treasury Department.
GM executives have said the company only has to show substantial progress by today, with the whole plan finalized by March 31.
Reuther, who heads the UAW’s Washington office, said he had not been updated on the talks since Sunday night but that he didn’t expect agreements before today. He said the Obama administration’s appointment Sunday night of a task force to oversee the automakers’ restructuring should get things moving.
GM has received $9.4 billion in government loans and is to get another $4 billion if its plan is approved by the government.
Chrysler received $4 billion and could get $3 billion more if its plan is approved. The plans must include concessions from debt holders and unions as well as substantial restructuring.
GM is likely to seek more money, at least up to the $18 billion that it requested from Congress in December under its worst-case projections. That scenario has arrived with U.S. sales at a 26-year low and auto sales dropping considerably in other parts of the world, a person briefed on GM’s plan said.
