WASHINGTON (Reuters) – The White House is drafting a financial assistance package is expected to include direct assistance, loans and tax relief in the wake of the steep falloff in U.S. travel demand, officials briefed on the matter said Monday.

U.S. airlines have slashed flights and last week met with the White House to sound the alarm for urgent action. The National Economic Council and U.S. Treasury are drafting a proposed assistance package and officials have been in early talks with lawmakers, officials told Reuters.

White House economic adviser Larry Kudlow told reporters Monday the administration is “looking at” assistance to U.S. airlines.

The White House declined to comment on how much the assistance package could total.

Airlines have sounded the alarm about declining revenue as travel demand collapses.

United Airlines said Sunday in the first two weeks of March it had 1 million fewer passengers and is currently projecting revenue in March will be $1.5 billion lower than last March.

Kudlow said that lots of airlines have called for administration and that the administration. He added that White House officials will visit the Senate to discuss options on Monday.

“It’s not so much a bailout” for airlines, Kudlow told Fox Business News, calling it liquidity and cash flow help.

“We see this problem as a matter of months not years … “I see it as a liquidity fix, not a bailout.”

“We don’t see any of the airlines failing. But if they get into a cash crunch we’re going to try to help them. We’re consulting with the House and Senate to see what works. And of course the Treasury Department and the FED have enormous powers on this,” Kudlow said.

United is cutting 50% of its flights in April and May, while American Airlines said it will cut 75% of international capacity. Delta Airlines Inc is cutting 40% of its flights in the next few months.