Obama Runs America
 

"As goes General Motors, so goes America"

GM CEO Wagoner to step down at White House request

DETROIT – General Motors Corp. Chairman and CEO Rick Wagoner will step down immediately at the request of the White House, administration officials said Sunday. The news comes as President Obama prepares to unveil additional restructuring efforts designed to save the domestic auto industry.

The officials asked not to be identified because details of the restructuring plan have not yet been made public. On Monday, Obama is to announce plans to restructure GM and Chrysler LLC in exchange for additional government loans. The companies have been living on $17.4 billion in government aid and have requested $21.6 billion more.

Wagoner's departure indicates that more management changes may be part of the deal. Wagoner, 56, has repeatedly said he felt it was better for the company if he led it through the crisis, but he has faced sharp criticism on Capitol Hill for what many lawmakers regard as years of missteps, mistakes and arrogance by the Big Three automakers.

excerpt from http://news.yahoo.com/s/ap/gm_wagoner

Why any company would accept bail out money is beyond me. They should have declared bankruptcy (like one exec proposed) get rid of the unions, restructure under new name.

I agree with this statement.

At the same time, I also agree with the idea of the GM CEO resigning. Just like this failing economy is the fault of the leaders (Executive and Legislative Branches), so is the piss poor performance of GM the fault of their CEO and other Senior Administrators.

i wonder what
 

he got to walk away with.... probably allot of dough ,no?

The failing economy is not the result of GM's poor performance. It's the other way around. I would request Frank, Dodd, Reed to step down ASAP.:af:!!!! Let's get consistant here.

It sounds like that's close to what the Administration is trying to have happen.

-spence

Considering all the cafe standards and restrictions placed on their most popular models, its a wonder they can any money at all. For years, the government has been getting involved in the auto business, making it more expensive to make their #1 sellers. They have been forced to spend billions on hybrid technology, even though the market isn't there for them yet. (hybrid batteries use the nickel mined in this plant http://maps.google.com/maps?f=q&hl=e...4,1.274414&t=h the big brown spot on the map)

Look at the top 10 vehicles sold last year, they sold almost twice as many Silverado's than any of their cars. Leave them alone, let capitalism work, and let them build what Americans want. The government should not regulate a business like this forcing them to make things people aren't buying, as it will create a huge opportunity for foreign auto makers to create what people will buy, cheaper cars that still get decent mileage. I hear China is working on a few, to be sold in Walmart. (semi joke).

The Top 10 Best-Selling Cars of 2008

* Ford F-Series: 515,513
* Chevy Silverado: 465,065
* Toyota Camry: 436,617
* Honda Accord: 372,789
* Toyota Corolla: 351,007
* Honda Civic: 339,289
* Nissan Altima: 269,668
* Chevy Impala: 265,840
* Dodge Ram: 245,840
* Honda CR-V: 197,279

Another big problem is the unions, nobody can afford to continue paying these increasing pension plans and benefits packages they are stuck with. Increase hourly wages, get rid of the unions and let them build cars that sell! The markets will decide the rest.

the decisions need to come from the individual companies, NOT OBAMA

Considering how much the taxpayer has loaned GM the past few months I'd say the Administration has the right to protect our interests. Wagoner has been the roadblock to bankruptcy all along, if there's no bankruptcy I don't see them being able to negotiate with the unions.

-spence

We shouldn't have gotten involved in the first place, the government is not a bank, they should not have loaned them a dime. Allow them to fail and let them restructure. I agree in part, we have gone too far down this road without a map to allow it to continue.

If the government is going to get out of the auto industry, perhaps they should get out of the energy industry as well and stop telling these companies where they can drill, mine and dump their waste.

Cars sure seemed to run better with lead in the gas and the engines lasted longer...so why should the government mandate my engine will die sooner? I want my lead back.

We should also tell the US Government to stop providing for safe passage for tankers from dangerous areas, and stop providing military assistance to Middle Eastern leadership to keep the oil flowing under a mandated state of stability. If the Arabs and Persians want to liquify most of the World's oil in their religious war, that's none of our business. We can drill in ANWR and use our own oil to keep our cars (and GDP) going strong.

Of course, alternative energy is not an easy proposition, so I'd wager it's going to make more sense to just use all the oil we can find as it's the best source of energy we have. It can't run out can it? Regardless, I'm sure private industry will figure it out. It has such a track record of thinking ahead and investing for the future. 50 year business plans are all the rage these days.

-spence

I disagree. GM's exceptionally poor performance is brought on by putting all their eggs in one basket, and producing vehicles that only coincide with current fads. Not to mention wasting a massive amount of resources on piece of garbage vehicles that no one cares about. (Remember the Aztek?)

Every company is doing poorly in these times, but companies like GM are doing terrible relative to the baseline. Toyota seems to be doing just fine in these times. Yes, they're struggling but I don't see them begging for a handout.

Toyota = No Unions

20 Mil.

While I think the Unions have added their share to the issue, there is no way they are the sole cause.