Read more on GM at Automakers will sell just 10 million new cars and trucks in the U.S. this year, the worst in at least three decades, respected forecaster J.D. Power and Associates said Thursday as it cut its 2009 prediction by 400,000 vehicles. For the staggering auto industry, "Recovery will not be a quick proposition," said Gary Dilts, senior vice president of Power's automotive operations. Chrysler 's already in Chapter 11 bankruptcy reorganization. General Motors (GM) faces a June 1 government deadline to finish overhauling its operations or head for Chapter 11, too. GM RESTRUCTURING: Automaker, UAW reach deal with U.S. GMAC HELP: Treasury offers $7.5 billion in new aid Even normally healthy automakers such as Toyota (TM) and Nissan (NSANY) are losing money. The industry and its analysts had been hoping for signs of a rebound, but now don't foresee any this month. Power forecast an annualized sales rate for May of just 9.3 million. JPMorgan auto analyst Himanshu Patel predicted earlier in the week the May selling pace would be just 9.1 million. Worst rate this year: February's 9.12 million. Before the auto collapse last year, car companies routinely sold more than 16 million new cars and trucks annually in the U.S. But there were potential bright spots: • The U.S . Treasury said Thursday it will invest $7.5 billion of taxpayer money in lender GMAC. That should give it more cash to lend buyers of both GM and Chrysler vehicles. Automakers say they're losing about 25% of their sales because would-be buyers can't get loans. The government will have a 35.4% stake in GMAC. GM will end up with 10% or less and private equity firm Cerberus Capital Management with 15% or less. Other investors own the rest. Treasury gets two directors on the nine-member board. •GM reached a tentative agreement with the United Auto Workers , a key requirement to satisfy the government and stay out of Chapter 11. Apparently resolved is whether GM can import small cars from China , rather than build them in the U.S., though details weren't available late Thursday. GM stock bounced up 32%, to $1.92 Thursday, on a day the major stock indexes were down. •A so-called cash-for-clunkers bill was introduced in the Senate on Thursday, similar to one in the House. Intended to spur sales, reduce pollution and cut fuel consumption, the legislation would give discounts of up to $4,500 to people who trade in older cars or trucks rated 18 miles per gallon or less for more efficient new ones. Guidelines: You share in the USA TODAY community, so please keep your comments smart and civil. Don't attack other readers personally, and keep your language decent. Use the "Report Abuse" button to make a difference. You share in the USA TODAY community, so please keep your comments smart and civil. Don't attack other readers personally, and keep your language decent. Use the "Report Abuse" button to make a difference. Read more