Auto bailout not ready: Bush

He had been asked when he might make an anticipated announcement about tapping a 700 billion financial industry bailout fund to aid General Motors Corp, Ford Motor Co and Chrysler LLC.

Asked whether he was leaning toward using financial bailout funds, Bush said: 8220;I signaled that that8217;s a possibility.8221;

Bush said a decision would not take long. White House spokeswoman Dana Perino said earlier that she had no timetable for a decision.

Following a surprise visit to Iraq, Bush was visiting Afghan President Hamid Karzai and addressing US troops in Afghanistan before his presidency ends next month. It was not clear how much longer the trip would last.

Lawmakers on Sunday said they expect the administration to act soon to ward off a collapse of the US auto industry, which could lead to millions of job losses. Republicans blocked a bailout in the Senate last week.

Sen. Bob Corker, a Tennessee Republican, said the Treasury Department has been talking this weekend with automakers about their balance sheets.

8220;I don8217;t think they yet know what they8217;re going to do,8221; said Corker, who added that he spoke with White House officials Sunday morning.

Bush said last week his administration would consider using part of the Treasury8217;s 700 billion bailout package for financial institutions to keep the Big 3 US automakers going over the short term as they sought lasting solutions.

United Auto Workers President Ron Gettelfinger, the top labor union official, said on CNN8217;s 8220;Late Edition8221; that his organization was in discussions with the administration but has been given no sense of timing of any relief.

Some lawmakers prefer the companies to seek bankruptcy protection.

Federal Reserve Chairman Ben Bernanke said last week in a letter to US lawmakers the central bank is 8220;extremely reluctant8221; to lend to car makers.