General Motors Corp. (GM) on Wednesday received a $5.4 billion infusion from the U.S. government, the second installment of a $13.4 billion emergency loan package approved last month.

The auto maker had been expecting the cash on Jan. 16, but the payout was held up as it worked through the application process.

Without the money, GM, fighting to avoid a Chapter 11 bankruptcy filing, had said it wouldn't have enough cash to run the business.

(This story and related background material will be available on The Wall Street Journal Web site, WSJ.com.)

The Bush administration approved a $17.4 billion loan package for GM and troubled rival Chrysler LLC in December amid warnings by the companies that they would go bankrupt without aid, creating a ripple effect of hundreds of thousands of lost jobs.

Chrysler already received its $4 billion loan. GM has now received $9.4 billion and is due for another $4 billion if it successfully completes a restructuring plan required by the government by Feb. 17.

Under the deal, GM by then must have made substantial progress toward agreements with its bond holders and labor unions to reduce debt and labor costs. The auto maker has until March 31 to implement much of the restructuring required under the deal.

GM Chief Operating Officer Fritz Henderson said Tuesday he believes GM will meet requirements of the loan. He said while progress is required by Feb. 17, major initiatives - such as launching the debt exchange - can wait until the March deadline.

-By Sharon Terlep, Dow Jones Newswires; sharon.terlep@dowjones.com

Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary. You can use this link on the day this article is published and the following day.