U.S. Auto Bailout Will Cost Billions More Than Previously Thought: Treasury

The U.S. Treasury Department has said the auto industry bailout will cost taxpayers $3.4 billion more than previously thought.

Treasury now estimates the 2009 bailout will eventually cost the government $25.1 billion, according to a report sent to Congress on Friday.

That is up from the last quarterly estimate of $21.7 billion.

Since the $80 billion bailout of the auto industry, Detroit's big automakers have moved from crisis to profit. GM and Chrysler were put through government-funded bankruptcies that slashed costs and debt.

More