The Obama administration’s former auto czar, Steven Rattner, said that the key aim of restructuring Chrysler was replacing the group of top executives and management that was put together by private equity firm Cerberus Capital Management LP.
“We wanted to have a completely fresh management team (at Chrysler),” said Rattner. “You can’t come to any conclusion that management is not a huge ingredient, a huge determinant of success.”
The U.S. government allowed Fiat SpA to take 20 percent of Chrysler and allowed Fiat CEO Sergio Marchionne to become the head of Chrysler Group LLC.
Rattner, who left the auto task force in July, said that the main reason behind support the Chrysler/Fiat alliance “was frankly to get new management and to get what we thought was one of two or three best management teams in the world.”
Former CEO Bob Nardelli left the company along with Tom LaSorda. Jim Press will leave by the end of the month.
Chrysler had no comment on Rattner’s remarks.
– By: Omar Rana
Source: Detroit News