In an unprecedented display of government intervention, the White House has ordered General Motors CEO Rick Wagoner to immediately resign from his position. First catching a whiff of the brewing shit storm last December when Congress began heavily attacking both GM and Chrysler’s leadership skills, Wagoner spoke out adamantly against dramatic shifts within GM’s upper management, insisting that it was critical to GM’s survival that he remain at the helm. Unfortunately, his loan sharks apparently do not agree.
According to sources, Wagoner’s forced resignation is most likely one of the many stringent requirements outlined in Obama’s auto industry rescue package. Expected to be revealed in full tomorrow, Obama administration officials have indicated that the criteria the Detroit 3 must meet in order to receive critical emergency funding is extremely demanding and includes quite a few “resignations” at the white-collar level.
Although Wagoner may or may not have seen this one coming down the pike, he has reportedly agreed to the directive and is expected to make an official statement on the matter later this week.
UPDATE: As predicted, GM’s media department released Rick Wagoner’s official statement regarding his resignation at 12:00 midnight, EST. Read it in full after the jump
GM Message from Rick Wagoner
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.
Fritz Henderson is an excellent choice to be the next CEO of GM. Having worked closely with Fritz for many years, I know that he is the ideal person to lead the company through the completion of our restructuring efforts. His knowledge of the global industry and the company are exceptional, and he has the intellect, energy, and support among GM’ers worldwide to succeed. I wish him well, and I stand ready to support him, and interim Non-Executive Chairman Kent Kresa, in every way possible.
I also want to extend my sincerest thanks to everyone who supported GM and me during my time as CEO. I deeply appreciate the excellent counsel and commitment of the GM Board and the strong support of our many partners including our terrific dealers, suppliers, and community leaders. I am grateful as well to the union leaders with whom I have had the chance to work closely to implement numerous tough but necessary restructuring agreements.
Most important of all I want to express my deepest appreciation to the extraordinary team of GM employees around the world. You have been a tremendous source of inspiration and pride to me, and I will be forever grateful for the courage and commitment you have shown as we have confronted the unprecedented challenges of the past few years. GM is a great company with a storied history. Ignore the doubters because I know it is also a company with a great future.
Source: Yahoo News
Image Cred: Reuters Pictures