WASHINGTON (Reuters) – U.S. Treasury Secretary Steven Mnuchin said on Thursday that equity stakes could be a part of the hundreds of billions of dollars in aid to airlines and larger companies that President Donald Trump’s administration is proposing.
Asked on Fox Business Network whether the government would consider taking equity stakes in companies, Mnuchin said: “As it relates to the big companies like the airlines, we’re looking at making secured loans on market terms. So, you know, we’ll see whether that includes equity or doesn’t include equity, and again, we’re not going to force things on people.”
Mnuchin said that in helping firms that need liquidity, the administration will “make sure that the taxpayers are compensated fairly.”
The Treasury Department on Wednesday proposed a $1 trillion rescue plan, which included $50 billion in financing aid for airlines and $150 billion for other industries, $300 billion for small and mid-size businesses and $500 billion for payments to individuals.
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