Long-struggling financial firms Bank of America, Citigroup Inc. and J.P. Morgan & Chase all fell more than 9 percent. General Motors Corp., fell 2.3 percent, as rumors of impending bankruptcy persist.

By close, the Dow Jones industrial average was off 297.60 points, or 3.79 percent, to 7,552.60, just 0.31 points above its close on Nov. 20. The Standard & Poor's 500 fell 4.56 percent, 37.67 points, to 789.17. The Nasdaq composite index lost 63.70 points, 4.15 percent, to 1,470.66.

On the New York Stock Exchange, 218 stocks advanced and 2,895 declined on a volume of 5.5 billion shares traded.

The benchmark 10-year U.S. Treasury bond rose 2 6/32 to yield 2.644 percent.

The euro fell to $1.2590, compared to Friday's $1.2779. Against the Japanese yen, the dollar rose to 91.33 yen, up from Friday's 91.73 yen.

In Tokyo, the Nikkei average lost 104.66 points to 7,645.51, down 1.35 percent.

In London, the FTSE 100 index lost 100.62 points, 2.43 points, to 4,034.13.

Automakers plans may hinge on progress DETROIT, Feb. 17 (UPI) -- Chrysler LLC's plan for financial viability submitted to the U.S. Treasury Tuesday includes a request for an additional $2 billion in federal funds.

Chrysler has received approval for $7 billion in loans in December, but has been given only $4 billion. The additional request submitted Tuesday, and the remaining $3 billion from the first round of approval, hinges on the government's acceptance of the automaker's new plans.

The new plan includes launches of 24 vehicles in the next four years and a nonbinding agreement to make Fiats in some U.S. plants, The Wall Street Journal reported.

Chrysler's plan says concessions from the United Auto Workers, dealers, suppliers and creditors are in place or have been agreed on, the Journal reported.

General Motors Corp.'s plan was not expected to include critical union concessions, The Detroit News reported. But, the government's decision to call back loans could rely on efforts to make progress more than on tangible progress, the newspaper said.

GM plan is expected to expand on announced plans to close nine U.S. plants, cut 1,750 dealerships and eliminate 31,000 jobs. It may also close off, reduce or sell production of Pontiac, Saab, Hummer and Saturn brands, the News said.

Pay cuts are part of recession's toll CHICAGO, Feb. 17 (UPI) -- Illinois office products company Acco Brands Corp. said it would impose a six-week pay cut of 47 percent to stave off possible job layoffs.