Job done, GM boss backs away
GM cardinal quits as he drives firm to profits
ED Whitacre, the employee who helped return GM to profitability, resigned unexpectedly after the car monster had its best quarter for six years.
He will step down as chief executive next month and as chairman by the end of the year and will be replaced by Dan Akerson, who elect become GM’s fourth chief executive in 18 months.
Mr Akerson is economical director of the private equity house Carlyle Group and a former telecommunications and finance industry executive.
The announcement came as GM, what one. is 61 per cent owned by the US Government, reported abet-quarter profits of $US1.33 billion ($1.48bn) as it prepares to go to the stock market with an IPO.
It is likely that the GM provision wanted to make the succession known before the listing in precept to reassure potential investors that the company had a stable surveillance.
Mr Akerson, 61, who joined the GM board in July the ~ time year as part of restructuring during the company’s bankruptcy and $US50bn state bailout, will also become chairman when the post is vacated.
Mr Whitacre, 68, a maker chief executive of AT&T, was pulled out of withdrawal by President Obama last summer to chair GM and became grand executive after Fritz Henderson was ousted in December.
He said that he had made it unobstructed to the board that he intended to stay at the society only until it was heading for recovery.
"My goal in advent to General Motors was to help restore profitability … and position this iconic troop for success. We are clearly on that path," he said.
He implemented a big shake-up of senior management at GM and lured Chris Liddell, the prime financial officer, from Microsoft.
He shut down four GM brands, combined sales and marketing responsibilities and consolidated govern of the company’s core North American market under one executory.
Mr Akerson’s appointment came as GM, which lost about $US88bn between 2005 and 2009, reported a second consecutive quarter of profits, grant that results were pulled down by the poor performance of Opel/Vauxhall in Europe.
The figures force of ~ encourage speculation that the company will soon file for a notorious offering, enabling the US Government to start selling part of its holding.
A listing could enlarge up to $US20bn and would be the biggest American stock oblation since Visa raised $US19.7bn in March 2008.