3rd UPDATE: Obama Says CEOs Confident 2 Sides Can Work Together

President Barack Obama emerged from a meeting with corporate chieftains saying they told him they were optimistic the two sides can work together to unleash private-sector cash and quicken the tepid recovery.

Obama said during the meeting with executives such as Kenneth Chenault of American Express Co. (AXP), Eric Schmidt of Google Inc. (GOOG), Jeffrey Immelt of General Electric Co. (GE) and John Lechleiter of Eli Lilly & Co. (LLY) they focused on discussing jobs.

The unemployment rate is stuck near 10% and many believe the key to getting the economy growing more quickly is to get the private sector to unleash some $2 trillion of cash it is sitting on.

The meeting was a chance for the two sides to exchange ideas on how to move the country forward. Obama, in a statement, said the meeting is the start of what will be a continuing dialogue about how to keep America competitive.

Among the topics discussed were tax overhaul, regulation and ways to encourage investment in the U.S. Obama said he is committed to fiscal discipline and reshaping the economy.

Motorola Inc. (MOT) CEO Greg Brown told Bloomberg News the talks were "substantive." He said the economy is at a critical juncture and needs to grow faster. He said the country has a lot of venture-capital money sitting on the sideline that needs to be unleashed.

Obama has had an at times rocky relationship with the business community, though a recent free trade agreement with Korea and tax deal the White House struck with Republicans appears to be easing relations.

Obama said he knows the private sector is key to getting the economy going. "The primary engine of America's economic success is not government, it's the ingenuity of America's entrepreneurs; it's the dynamism of our markets," he said.

Separately, Obama also discussed the tax package before Congress. He said he is "absolutely convinced" it will lift the economy and urged swift passage.

The Senate passed the package Wednesday afternoon and Obama urged the House to take up the same bill and pass it swiftly. The president said in a statement the package is a "win for American families, American businesses, and our economic recovery."

Obama, speaking just before he met with the executives, said he recognizes the tax deal isn't perfect, but would lift the middle class and help businesses hire.

"I know there are different aspects of this plan to which members of Congress on both sides of the aisle object," Obama said, adding "that's the nature of compromise." He said the country "can't afford to let it fall victim to either delay or defeat."

The tax deal, which has survived a procedural hurdle in the Senate with bipartisan support, includes provisions both parties have complained about. Some Democrats have raised concerns about a provision lowering the estate tax, while some Republicans have balked at the package's price tag.

FULL LIST OF EXECUTIVES:

 
Greg Brown, Co-CEO, Motorola Inc. (MOT) 
John Chambers, Chairman and CEO, Cisco Systems Inc. (CSCO) 
Kenneth Chenault, CEO, American Express (AXP) 
Dave Cote, Chairman and CEO, Honeywell International Inc. (HON) 
Scott Davis, Chairman and CEO, United Parcel Service Inc. (UPS) 
John Doerr, Partner, Kleiner Perkins Caufield & Byers 
Mark Gallogly, Managing Partner and Co-Founder, Centerbridge Partners 
Lew Hay, Chairman and CEO, NextEra Energy 
Jeffrey Immelt, Chairman and CEO, General Electric Co. (GE) 
Ellen Kullman, CEO, DuPont (DD) 
John Lechleiter, President and CEO, Eli Lilly & Co. (LLY) 
Andrew Liveris, President, CEO and Chairman, Dow Chemical Co. (DOW) 
James McNerney, Chairman, President & CEO, Boeing Co. (BA) 
Indra Nooyi, Chairman and CEO, PepsiCo Inc. (PEP) 
Paul Otellini, CEO, Intel Corp. (INTC) 
Penny Pritzker, Chairman and CEO, Pritzker Realty Group 
Brian Roberts, Chairman and CEO, Comcast Corp. (CMCSA) 
Jim Rogers, Chairman, President and CEO, Duke Energy Corp. (DUK) 
Eric Schmidt, Chairman and CEO, Google Inc. (GOOG) 
Robert Wolf, Chairman and CEO, UBS Group Americas 
 

-By Jared A. Favole, Dow Jones Newswires; 202.862.9256; [e-mail]