Obama: I have no interest in running GM

Posted: Jun 01, 2009

As you all know by now, when the ‘New GM’ comes out of bankruptcy court in 60 to 90 days the U.S. government will own 60 percent of the company. The Canadian governments will own 12 percent while the UAW will own 17.5 percent. GM bondholders will take a 10 percent stake.

Speaking earlier today to the media, President Barack Obama said: “We are acting as reluctant shareholders. What we are not doing – what I have no interest in doing – is running GM.”

He said that the New GM will be run by a private board of directors and management team. “They, and not the government, will call the shots and make decision about how to turn this company around.

“The federal government will refrain from exercising its rights as a shareholder in all but the most fundamental corporate decisions. When a difficult decision has to be made on matters like on where to open a new plant or what type of new car to make; the New GM – not the United States government – will make that decision.

He said that the U.S. government’s main goal is to get GM back on its feet with a hands-off approach and get out quickly.

- By: Omar Rana

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Tags: Barack Obama, Obama

MALK

With all due respect to a very popular, charismatic President (whom we all respect considerably), I urge that he starts taking interest in running GM lest it become like Leyland Motors. Don't these folks ever read history?
The real villains have yet to be mentioned and these start with people like Roger Smith and other bureacrats of his ilk. The Prez needs to find the Iaccocas, the Deloreans (when he was at GM), the Lutzes and unleash them.

kabluey

Wow! I am amazed at how well his eloquent speaking abilities come in handy.

I was actually dumb before about how well the UAW had democrats in their grip, and am scared for the future of the domestic auto industry. Furthermore, Ford must have been the one targeted to be reduced the most since they now only have Volvo and Aston--seems that because their situation is more positive unlike the so-called 'relief of pain' GM and Chrysler are now experiencing...

zermatt

Shall we be realistic about what the president meant to say?

"The social re-engineering project known as the US auto industry is well under way!! I have put the unions and the Greens in charge of this experiment and by golly they are all excited about the opportunity to make America bend to their will."

"Oh, BTW, congress is all set to make this work for their constituents by forcing GM and Chrysler to use parts sourced from their states (damn the costs) and force Americans to buy GM & Chrysler cars by taxing the crap out of all other cars."

"Finally, if these social re-engineering experiments cost more that the taxpayers expect - what do I care? I am really rich!!!!"

Pat

GM - Government Motors

johnson

It all depends on the definition of "I" is. If "I" meant Obama himself, then NO; If "I" is the admin and Congress, then YES. GM will be 'running' under political wind. For example, if it is PC to be green, the gov't will put billions and maybe even trillions into R&D for green technology. By the time it comes to fruition, it will probably be PC to be something else, all that money in research would all be pissed into the political wind. Ah, it is NOBODY's money, right? (being sarcastic here) ....

Pat

I kind of like that he made it clear. although I'd like the government to make sure that our taxpayer money is used efficiently and not thrown away so we'll be back here again in a couple of years.