Automakers Back From Brink

But Wagoner noted that: "Our view has been all along that bankruptcy is a very high risk process, particularly for this industry and particularly at this time. Our intention is to proceed ahead (and) and to make sure that we can put together a plan that doesn't require that."

In a letter to employees and stakeholders on Friday, Chrysler CEO Bob Nardelli wrote that his company will use its $4 billion to "continue to implement our plan for long-term viability," and will work with stakeholders "to identify and achieve the cost-savings concessions we need."

Nardelli asked that suppliers "maintain their commitment to reasonable trade terms and normal fulfillment of orders as long as the federal loan is outstanding." Meanwhile, Chrysler owner Cerberus Capital Management said Friday it will invest the first $2 billion of Chrysler Financial profits in the financing firm's parent automaker. It said the funding will back up the $4 billion federal loan.