Obama Says He Has 'No Intention' of Running General Motors

How did GM CEO had to resign.

White House and GM sources had told CNN Sunday that Wagoner would resign as part of the federal government's bailout strategy for the troubled automaker.

"On Friday I was in Washington for a meeting with Administration officials. In the course of that meeting, they requested that I 'step aside' as CEO of GM, and so I have," Wagoner said in a statement posted to the GM Web site.

He is being replaced by GM's president and chief operating officer, Fritz Henderson. Kent Kresa will serve as interim chairman.

edition.cnn.com...

And . . . so he did.

Being fired by the president in exchange for billions in bailout funds to repair the failing company you are departing seems like a sweet deal to me.

GM should now and forever be known as FM (Federal Motors).



[edit on 30-3-2009 by Walkswithfish]

waist of tax payers money the company will eventually go under, so is anyone planing on buying a GM anytime soon? with the possibility that the warranty on the car will be worthless if the company fails.

In the end we can give them all the money we can through bail outs, If people are not buying GM cars and trucks, to the point that a profit is being made the company is screwed!

I think what some of us are thinking is fact that America invented the industry to a large degree and to let it die is not a good option economically. What I see some of the opposition doing is snipe everything without having to pander to the reality of the considerations at hand.

I know it is frustration for those who are opposed to all the goings on... But it is just as frustrating to see very little consideration of the impact of such massive systemic failures
in industry. We lose five million jobs, those jobs are gone, poof... they don't come back in a couple weeks. Those five million in turn weaken the stream of revenue to other industries, which in turn sheds more jobs. Please tell me if I am wrong anybody?

The other problem I have is the insinuation that all of this is an insidious plan to destroy America. Provided you can agree with the domino effect of job loses, would it not be irresponsible to let nature take its course? We are not hunters and gatherers I remind you all, would it be responsible to let millions and millions and millions citizens exist without a quantity of jobs to match their numbers? Would we not pay for these people in social services, policing and crime - eventually.

I think the wild west attitude is cool and all, but how can we compete with more populous, better educated countries if we submit to social darwinism and failure of our institutions?

This is all just a bunch of barnyard waste!

Please someone tell me how the CEO's of AIG, Chase, Citicorp, B of A, have gotten BILLIONS but not one peep about dumping their CEO'S???? Why this big push on the car makers when the banksters seem to have an unlimited source of cash with no real consequences?

I am so disappointed in Obama I really am. So sad that the blinders were in the process of being removed during the campaign and I was one of the millions that bought the hope/change message hook-line-sinker, and the arm that held them! I now see that it makes no difference who is in "control" of govt because they have about as much authority as the figure head of the Queen of England!

All I want to know is how the banks and AIG can get a free pass and the CEO of this company is pressured to resign, HOW DOES THAT MAKE ANY SENSE???

Originally posted by mental modulator
I think what some of us are thinking is fact that America invented the industry to a large degree and to let it die is not a good option economically. What I see some of the opposition doing is snipe everything without having to pander to the reality of the considerations at hand.

I know it is frustration for those who are opposed to all the goings on... But it is just as frustrating to see very little consideration of the impact of such massive systemic failures
in industry. We lose five million jobs, those jobs are gone, poof... they don't come back in a couple weeks. Those five million in turn weaken the stream of revenue to other industries, which in turn sheds more jobs. Please tell me if I am wrong anybody?

The other problem I have is the insinuation that all of this is an insidious plan to destroy America. Provided you can agree with the domino effect of job loses, would it not be irresponsible to let nature take its course? We are not hunters and gatherers I remind you all, would it be responsible to let millions and millions and millions citizens exist without a quantity of jobs to match their numbers? Would we not pay for these people in social services, policing and crime - eventually.

I think the wild west attitude is cool and all, but how can we compete with more populous, better educated countries if we submit to social darwinism and failure of our institutions?

Oh come on, if one of the big boys dies then several will be formed to take their place. That's what it's all about. Don't you think it's odd that we have the BIG 3? They are the major US manufacturers of vehicles because they have forced out or assimilated the little guys.

Yes, people will lose their jobs. Yes, these same people will find OTHER jobs.

The Auto industry is one of the largest corrupt industries around. Why do you think they NEED the UAW? Reasonable sized companies don't need big Unions to protect the workers rights. Once the monopolies are created, corruption follows.

The bailouts are doing nothing more than justifying the company's corrupt actions.

The biggest laugh of all is the largest money wasting corrupt entity in the US, the Government, is dressing down the Auto industry for their financial mistakes! Isn't that the Pot calling the Kettle black?

It's not irresponsible to let nature take its course. What IS irresponsible is shackling the next 2 or 3 generations of citizens with paying for the bailouts, and thinking that this can be fixed by throwing MORE money at the problem.

You mentioned Darwin. Aren't the bailouts interfering with the natural evolution of our economy & industry? What happened to survival of the fittest?

I posted this in Grover's other thread about GM. I think it's interesting and important.

Behold, the new head of GM:

cryptogon.com...

Woh. Hold on there. Who is Kent Kresa?

In addition to his work as a member of the board of GM, he’s also a Senior Advisor at the Carlyle Group. Since his bio on the Carlyle Group’s website is the most complete one that I came across, I’ll quote from it. Everything in bold references links to the black world of special access programs:

Global private equity firm The Carlyle Group today announced that Kent Kresa, the former Chairman and CEO of Northrop Grumman Corporation, has joined Carlyle as a Senior Advisor to its aerospace and defense group.
…
Mr. Kresa was Chairman of the Board of Directors of Northrop Grumman Corporation from September 1990 until October 2003. He served as Chief Executive Officer from January 1990 until March 2003, and President from 1987 until September 2001. In 1982 he was appointed Group Vice President of the company’s Aircraft Group and in 1986 was named Senior Vice President-Technology Development and Planning. Mr. Kresa joined Northrop Grumman in 1975 as Vice President and Manager of the company’s Research and Technology Center, developing new proprietary processes and products for the company. From 1976-82 he served as Corporate Vice President and General Manager of the Ventura Division, a leader in the production of unmanned aeronautical vehicles.

Before joining Northrop Grumman, Mr. Kresa served with the Defense Advanced Research Projects Agency, where he was responsible for broad, applied research and development programs in the tactical and strategic defense arena. From 1961-68 he was associated with the Lincoln Laboratory at the Massachusetts Institute of Technology (M.I.T.), where he worked on ballistic missile defense research and reentry technology.

Exactly what will GM be making in the future?

reply to post by grover
And what would you do? Give them the money with no strings attached?


He did with the banks. Why do they get special treatment?
Second line.

reply to post by kosmicjack


Whatever it is I will not be buying their cars anymore. With that said, I guess I will be shopping foreign now, as my last car a 2006 Monte Carlo was totaled last October.

This is "rich" ...

In the attached article, the head of an auto workers union local complains about the treatment their companies are getting from Obama.

article

Hello ....

You union people voted for this guy. Most for no other reason than one of your union bosses told you to.

And now you want complain about it?

Start thinking and voting for yourselves.

reply to post by centurion1211


To tell you the truth I am very disappointed on how Obama so far is handling the nation.

Very sad indeed.

reply to post by marg6043


I know. A lot of people - especially the younger voters - put their heart and soul into supporting obama. Now they have to deal with the reality that their support was truly misguided - and that's about the best you can say about it. Hopefully, next time they vote, their decision will be based on logic rather than emotion.

Originally posted by kosmicjack
Behold, the new head of GM:

The Carlyle Group? Just goes to show ... the more things 'change', the more they stay the same. Excellent info kosmicjack. Obviously powers other than a free market are now runnng GM.

Originally posted by Solarskye
The only way the automobile industry can be saved is to get government out and smart decisions in.

No offense Skye... but... SERIOUSLY???



You do realize that GM and Chrysler have both been failing since the Mid -80s? While I agree that Government Control is not the Only option at this time; let's face the facts... GM and Chrysler have been run by incompetent Spend-thrift ninnies since the mid 90's and have over-expanded their Nameplates DRASTICALLY in the last 10 years.

What Chrysler Needs is another Lee Iaccoca, and GM needs to be downsized to three brands No More, No Less... Think about it; The GM of the 70's (Chevrolet, Pontiac, and GMC) had the coolest cars, with the most power, and the highest Street Demand (Corvette, Firebird [I grew up in the 80's so forgive my lack of 70's GMC nameplate knowledge]). While Government intervention isn't the best option, it could definitely be utilized to force the companies hand in matters where the company just doesn't have enough leadership to make one on their own.

Smart Decisions would be extremely helpful; but the people in charge of Chrysler and GM haven't made a Smart Decision since they decided to quit building Saturns out of solid plastic. (1994)

Anywho My $200.00 (way more than 2 cents... I'm a New and Used Car Dealer... )

Coven

reply to post by kozmo


Or something else.

as it has been often said:
you're either part of the solution or part of the problem

wagoner was tasked with the creation of a restructuring plan when the initial bailout was provided to GM and failed