# Rick Wagoner Steps Down



## GTO JUDGE (May 14, 2005)

Paul Sancya / AP

General Motors Chairman and CEO Rick Wagoner is stepping down as head of the embattled automaker CNBC has learned Sunday.

Wagoner's resignation comes as the company awaits president Barack Obama's reports on efforts to save GM [GM 3.62 0.21 (+6.16%) ]
and Chrysler.

It is unclear if Wagoner's resignation is one of the stipulations for the federal government to lend billions more to GM. But sources close to the talks say tough conditions will be attached to any future aid.

President Obama will update the public on the Treasury Department’s next step in helping GM and Chrysler on Monday afternoon.

A senior White House official did not deny to CNBC that the Obama administration influenced Wagoner's departure.


Asked if the administration forced him out, the senior official replied, "'forced' is a little strong."

Wagoner has served as CEO since 2000. Under his leadership, GM has steadily lost market share in North America while becoming the dominant automaker in China, where it is currently number one.

For all of Wagoner's international success, his inability to cut losses and make GM profitable in North America is ultimately the cause of his downfall. Vice Chairman and President Fritz Henderson is expected to step in upon Wagoner's departure.

© 2009 CNBC.com


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## Aramz06 (Mar 2, 2008)

Ouch, interesting. I'm wondering if this is a good thing or a bad thing from GM's profitable point of view?


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## REX (Jan 21, 2009)

Thanks for posting Judge! Looks like it's our version of 1973 all over again. You better cherish these cars boys 'cause the times they are a changin' and guys like us aren't going to like it!

Here is a follow up:

The Obama administration asked Rick Wagoner, the chairman and CEO of General Motors, to step down and he agreed, a White House official said.

On Monday, President Barack Obama is to unveil his plans for the auto industry, including a response to a request for additional funds by GM and Chrysler. The plan is based on recommendations from the Presidential Task Force on the Auto Industry, headed by the Treasury Department.

The White House confirmed Wagoner was leaving at the government's behest after The Associated Press reported his immediate departure, without giving a reason.

General Motors issued a vague statement Sunday night that did not officially confirm Wagoner's departure. 

"We are anticipating an announcement soon from the Administration regarding the restructuring of the U.S. auto industry. We continue to work closely with members of the Task Force and it would not be appropriate for us to speculate on the content of any announcement," the company said.

The surprise announcement about the classically iconic American corporation is perhaps the most vivid sign yet of the tectonic change in the relationship between business and government in this era of subsidies and bailouts.


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## GTO JUDGE (May 14, 2005)

GM took $$ from the government. The President requested Wagoner resign. This is dangerous when the head of state has moxie, and now the clout to threaten a CEO to quit or else. Ford has to be feeling a bit relieved they didn't take money. Will the President resign if his polices tank?


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## ppurfield001 (Jan 21, 2008)

GTO JUDGE said:


> GM took $$ from the government. The President requested Wagoner resign. This is dangerous when the head of state has moxie, and now the clout to threaten a CEO to quit or else. Ford has to be feeling a bit relieved they didn't take money. Will the President resign if his polices tank?



Better buy extra parts for your driver GM cars, boys and girls. If the loonies in control of the Congress and Senate have their way, we'll all be driving Priuses and GM will be making similar cars. I will take extra joy in driving my 1967 GTO next weekend.


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## Koppster (Jul 27, 2008)

:agree


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