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`Dumbest People' Industry Image May Cost Wagoner Job


jpd80

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Removing CEOs

``There's the feeling that next to financial services, automotive execs are the dumbest people in the world,'' said Thomas Stallkamp, a former Chrysler president who worked at the car company when it received emergency government loans in 1980. ``There are probably some symbolic moves that somebody's going to ask for.''

 

The federal government insisted on replacing the CEOs of American International Group Inc., Fannie Mae and Freddie Mac when they received aid. Lawmakers including Senator Sherrod Brown, an Ohio Democrat, said some executives may have to go before GM and the other U.S. automakers receive $25 billion in new government loans.

 

``It's pretty clear that management has made some pretty bad decisions over the last 20 years,'' Brown said, adding that changing management is something that Congress must ``think seriously about.''

 

Wagoner won't offer to resign, he told Automotive News this week. ``It's not clear to me what purpose would be served,'' he said. ``Our job is to make sure we have the best management team to run GM.''

 

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Aid to the automakers must come with conditions that reduce their U.S. production costs to match or beat those of Toyota, said Crandall, who managed a unionized workforce as American Airlines CEO from 1985 to 1998.

 

Toyota generated pretax profit of $922 per vehicle on North American sales in 2007, while GM lost $729, according a June report by New York-based consulting firm Oliver Wyman.

 

``If we don't impose conditions that we honestly believe will make GM successful, then we're just kidding ourselves,'' said Crandall, who last owned an American car 10 years ago and now drives a Toyota. ``Their costs are simply out of whack and the quality isn't up to snuff.''

 

It's one thing to bail out GM, it's another to guarantee that after doing so that GM stay viable,

otherwise the very thing people were hoping to aviod happens anyway - hardship to the communituy.

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Crandall, who last owned an American car 10 years ago and now drives a Toyota. ``Their costs are simply out of whack and the quality isn't up to snuff.''

Fucking idiot! :lastyear:

:hysterical: ...Yeh, I noticed that,

 

His opinion is wrong and coloured by poor taste. :shades:....

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