Bush signs $136b bill on corporate tax cut

Announcing the action without fanfare aboard Air Force One, the White House said the new law is good for America's workers because it will help create jobs here at home.

The election-year measure is intended to end a bitter trade war with Europe and supporters said it provides critical assistance to beleaguered manufacturers who have suffered 2.7 million lost jobs over the past four years.

The legislation also includes about $10 billion in assistance for tobacco farmers. A Senate provision that would have coupled the assistance with regulation of tobacco by the Food and Drug Administration was dropped by the conference committee that ironed out differences between the two chambers.

Though the legislation provides new tax breaks, Congress' Joint Committee on Taxation says it has no impact on the deficit because it also closes corporate tax loopholes and repeals export subsidies.