General Motors Chairman Ed Whitacre and CEO Dan Akerson

General Motors’ top three executives increased their investment in the company once the stock hit the open market, picking up more shares under an employee program. The report comes from paperwork filed today with federal regulators.

GM CEO Daniel Akerson purchased 14,200 shares of common stock at $33.57 on the open market while Vice Chairman Stephen Grisky took 2,000 shares at $34.98 each. Former CEO and current Chairman Edward Whitacre Jr. purchased 14,600 shares at $34.27.

All three also purchased stock in the initial offering, each buying 800 shares under the employee program, which allowed employees, retirees and dealers to buy stock at $33 a share.

- By: Omar Rana

Source: Detroit News

Ed Whitacre will step down as GM CEO and Chairman on Sept. 1

General Motors Chairman Edward Whitacre said today that the company’s stock will be priced from $20 to $25 per share. Whitacre made the statement at an event in San Antonio, Texas, and said that the initial public offering would take place sometime in November.

“It’s going to be somewhere in the $20 range, $20, $25, something like that,” Whitacre said.

GM has not yet announced a date or price for the IPO. The Detroit automaker is waiting for U.S. regulators to sign off on its proposed plan to sell shares.

Whitacre stepped down as CEO on September 1. He will remain Chairman of GM until January 1. Whitacre said that the IPO would be successful since GM is making a profit.

- By: Omar Rana

Source: MSNBC

From L to R: Kent Hance, Ivan Gutierrez and Edward E. Whitacre Jr

Earlier this morning, egmCarTech reader Ivan Gutierrez sent me an email with a picture of him standing next to former General Motors CEO, Ed Whitacre and some other guy we’ve never seen. When we asked for more details, Ivan wrote us a pretty large paragraph on why Whitacre was visiting Texas Tech – it’s pretty interesting stuff so we decided to share it with you guys (with Ivan’s permission of course).

Here is what Ivan had to say:

Yeah he”s a Texas Tech Alum.  The College of Engineering at Texas Tech is named the “Edward E. Whitacre Jr. College of Engineering”.  The other guy in the picture is the Kent Hance, the Chancellor of the Texas Tech University System and close friends with Whitacre (they were fraternity brothers at TTU).  I”m in Hance”s senior seminar class and every year Ed Whitacre comes down to Lubbock to be a special guest in his class.  Today was just a small meet and greet, he”ll come to class with us on Wednesday.  He mostly talked about his career both with Southwestern Bell/SBC/AT&T as well as with GM.  He talked about how GM”s policy book was over 1000 pages.  Ed Whitacre”s Policy was that “GM would Design, Build, and Sell the World”s Greatest Vehicles and that Revenue would surpass expenses”.  He said he initially turned down the job offer several times before finally accepting.  Since Ed was still living in San Antonio, he would travel to Detroit on Sunday and come back on Friday and he said he made the trip around 40 times.  He spoke about how GM”s upper management was in shambles and that GM had no clear goal or vision; that GM executives were bogged down by paperwork which made getting anything done a long and arduous task.  Whitacre wanted to streamline the company and he replaced most upper level management positions.  He also mentioned that GM”s IPO is scheduled for sometime in November.  And of course he said that he believed that Dan Akerson would be an excellent CEO at GM.  Also he”s going to the TTU-UT game tonight.  I was able to talk to him for like 30 seconds, I was kind of nervous and at a loss of words for what to say, I actually don”t even remember what I said.  But it was a fun time and I got to take a picture with him so that was awesome.  Before he left he gave us some Guns Up!  Wreck “˜Em!!!!

Ivan Gutierrez

It seems like Whitacre is a pretty cool and down to Earth chap.

- By: Omar Rana

GM Chairman Ed Whitacre and GM CEO Dan Akerson

During his first major address to General Motors’ global workforce, new CEO Dan Akerson urged employees to “be on the attack” against rival automakers. Sitting alongside Chairman and former CEO Ed Whitacre, Akerson said spoke about his vision for moving the Detroit automaker ahead.

“He said, “˜We”re good right now, but we”ve got to get a lot better,’ ” said a person who watched the webcast. “‘We have this great opportunity because of this clean balance sheet to become an aggressor rather than a reactive company. We have to take an attack mentality to the business.’”

According to the Associated Press Akerson said that GM’s Cadillac brand needs to build better cars than BMW. Through the first 8 months of 2010, BMW has sold 139,236 vehicles, beating Cadillac by almost 47,000 cars and trucks, according to Autodata Corp.

Akerson also connected to employees on a more personal level and said that he voted Republican and talked of the football loss his alma mater, the U.S. Naval Academy, suffered on Labor Day to the University of Maryland.

- By: Omar Rana

Source: Detroit News

Dan Akerson - CEO of General Motors Company

When Edward Whitacre took the job as General Motors’ CEO last year, he made it clear that he wasn’t here to stick around for a long time. Whitacre seemed pretty confident when he said GM was headed in the right direction and announced on Aug. 12 that he will be stepping down as CEO as of Sept. 1.

“My goal in coming to General Motors was to help restore profitability, build a strong market position and prepare this iconic company for success,” Whitacre said. “While we have more to do, it is fair to say that GM is headed on that path. A strong foundation is in place and I am comfortable with the timing of my decision.”

Dan Akerson, 61, who has served on the GM board of directors since July 2009, is officially, as of today, GM’s new CEO… and hopefully someone that plans on sticking around for more than a couple of months since he his the fourth CEO of the Detroit automaker in 18 months.

Here is what Akerson said on Aug. 12:

There are remarkable opportunities ahead for the new GM, and I am honored to lead the company through this next chapter. Ed Whitacre established a foundation upon which we will continue building a great automobile company.

- By: Omar Rana

Dan Akerson

General Motors new incoming CEO, Dan Akerson, is shopping for a house in metro Detroit, a move that signals he’s going to stay a while and be close to the company’s Renaissance headquarters in downtown Detroit. Akerson, who currently resides in McLean Va, will make his Detroit-area home his primary residence, sources familiar with the matter said.

Outgoing CEO Edward Whitacre stayed in an apartment that was booked at the Westin Book Cadillac hotel and commuted from his home in San Antonio, Texas. His flying expenses were taken care of by his former employer, AT&T, who he had struck an interesting deal with before retiring from his CEO position.

Whitacre will relinquish his title as CEO to Akerson after being with GM for just 10 months. Akerson will step in on September first and will become the board’s chairman by the end of 2010.

- By: Omar Rana

Source: Free Press

Ed Whitacre will step down as GM CEO and Chairman on Sept. 1

General Motors announced today that it has filed for an initial public offering of common stock. The move is expected to largely benefit GM executives if all goes right. While GM did not disclose the number of shares to be sold or the price per share, potential gains for top executives are expected to be large.

As the Detroit Free Press points out, before Ed Whitacre stepped down as CEO, he was in line for a $5.3 million stock award to be paid over a three year period. He was also on his way to qualifying for $2 million restricted stock units previously valued at $53.98. If GM shares ended up trading at $108 a share one year or two years from now, the last group of Whitacre’s shares would have doubled in value.

A GM spokesman said she did not know of the potential compensation for Whitacre or when he steps down has chairman next year. The spokesman also said that she had no clue whether GM would transfer the same compensation to new CEO Dan Akerson.

Similar stock award offers are expected to be made to 13 other GM executives.

- By: Omar Rana

Source: Free Press

GM Chairman and CEO Ed Whitacre

According to three people familiar with the talks, General Motors’ board and bankers asked current CEO and Chairman Ed Whitacre to either step down or commit to stay in his position for years more to assist the company’s initial public offering to investors.

The sources said that Whitacre didn’t want to stay for an extended period and agreed to let director Daniel Akerson, 61, take his place. Akerson will take his position as CEO on September first and will become the Chairman of GM on January 1.

In a memo sent to employees on Friday, Whitacre said: “It was never the plan for me to be the long-term CEO and Chairman, which the Board knew and understood.”

“My goal in coming to General Motors was to help restore profitability, build a strong market position and prepare this iconic company for success,” Whitacre said. “While we have more to do, it is fair to say that GM is headed on that path.”

- By: Omar Rana

Source: Automotive News (Subscription Required)

Dan Akerson

By now most of you should already know that General Motors’ current CEO and Chairman Edward Whitacre Jr., will be stepping down on September 1 and will be replaced by Daniel Akerson – but what does the U.S. government, which owns 60.1 percent of the Detroit automaker, think about the upcoming CEO?

On Saturday, White House spokesman Robert Gibbs praised GM’s decision to name Akerson as the new CEO of GM, who will also take the duties of Chairman on Jan. 1, 2011.

“Our belief is that Dan Akerson is a proven and well-respected individual that will carry on what Ed and others have started in restructuring an auto company that not too long ago was on the brink of extinction,” Gibbs said. “They announced again yesterday a quarterly profit. They are on the upswing, as the other auto companies are, as well.”

The White House also praised the efforts of Whitacre.

“We are grateful for, and I think the country should be grateful for, the service and the sacrifice of Ed Whitacre,” Gibbs said.

Akerson will be come the fourth CEO of GM in the past 18 months.

- By: Stephen Calogera

Source: Detroit News

General Motors Chairman and CEO Edward E. Whitacre

In a letter to GM employees regarding his decision to step down as Chairman and CEO of General Motors, Ed Whitacre said that he was preparing for the day ever since he joined the company.

” It was never the plan for me to be the long-term CEO and Chairman, which the Board knew and understood,” Whitacre said.

Steve Rattner, the former Wall Street banker who was the head of the U.S. Treasury’s reorganization of General Motors and Chrysler, said yesterday that the abrupt resignation of Whitacre “shows him as a man who meant what he said.”

“From the beginning, Ed made it clear he was willing to help out but he wasn’t willing to have another long run as CEO,” Rattner said. “Whitacre was a retired CEO of ATT when he was tapped by the U.S. to reconstitute GM.”

Rattner also said that the “country and the company are lucky to have Akerson.” He said that Akerson has “been on the board for a year and is intimately familiar with the company works and the challenges it faces.”

You can read Whitacre’s letter to GM employees after the jump.

August 12, 2010

Today, I announced my decision to step down as CEO of General Motors, effective September 1, and then as Chairman by the end of this year. Dan Akerson, who currently serves on the GM Board, will assume both roles.

I have been preparing for this day ever since I came to General Motors. It was never the plan for me to be the long-term CEO and Chairman, which the Board knew and understood.

But that doesn”t make today any easier for me.

My goal in coming to General Motors was to help restore profitability, build a strong market position and prepare this iconic company for success. While we have more to do, it is fair to say that GM is headed on that path. Our earnings for the last two quarters show that. Our strong sales show that. And the enthusiasm from everyone I meet at GM shows that.

We are on the right track. And I have complete confidence that Dan Akerson will keep us moving forward. Dan is committed to GM; he”s been a key player in the decisions our Board has made over the last year. He will do a great job, and deserves your complete support.

I have enjoyed my time as CEO of GM more than I can say, and I am pleased to stay on as Chairman through the end of the year. I am excited about this company and I want you to know that it is the people of GM who make this a very special place. You are the best, and I truly appreciate all you do.

Thank you for the privilege of leading this great company. I am anxious to see the new heights that you will achieve as you continue focusing on designing, building and selling the world”s best vehicles.

Ed Whitacre

- By: Omar Rana

Source: Free Press, AutObserver

Ed Whitacre will step down as GM CEO and Chairman on Sept. 1

After reporting a second consecutive quarter of profits, General Motors CEO Edward E. Whitacre said that he will step down as CEO of the automaker on September 1, 2010. Whitacre said he will remain chairman of the board but will give that up by the end of the year as well, having successfully led the company”s return to profitability.

Dan Akerson

“My goal in coming to General Motors was to help restore profitability, build a strong market position, and position this iconic company for success,” said Whitacre. “We are clearly on that path. A strong foundation is in place and I am comfortable with the timing of my decision.”

Whitacre, 68, became the Detroit automaker’s chairman of the board in July, 2009. On December, 2009 he was named chief executive officer.

Who’s going to be taking Whitacre’s spot? 61-year-old Dan Akerson, 61, who has served on the GM board of directors since July 2009, will become CEO on September 1 and chairman by the end of the year.

Like Whitacre, Akerson has no background in cars, which actually seems to be a good thing for the auto industry in recent years (take Alan Mulally for example). Besides being on the GM board, Akerson has a career in finance as a managing director at the Carlyle Group and in telecommunication, serving as chairman and chief executive officer of XO Communications and at Nextel Communications.

“There are remarkable opportunities ahead for the new GM, and I am honored to lead the company through this next chapter,” said Akerson.  “Ed Whitacre established a foundation upon which we will continue building a great automobile company.”

- By: Omar Rana

Ed Whitacre at speaks at Traverse City

General Motors CEO and Chairman Edward Whitacre will do all he can to shed the “Government Motors” moniker that has stuck with the company ever since it came out of Chapter 11 bankruptcy last year. How does Whitacre plan on doing that? Well first on his long list of ‘To Do’s’ is the long awaited initial public offering.

“We don’t like this label of ‘Government Motors,” Whitacre said during his speech at the Center for Automotive Research’s Management Briefing Seminars in Traverse City, Michigan. “It turns off customers. It turns us off. People at GM are embarrassed by that. We’re moving as fast as we can. It’s No. 1 on our list.”

Whitacre said that GM expects to sell its stock in one batch. Many analysts had expected GM to sell only a partial stake at first, followed by several smaller sales, but Whitacre told reporters Thursday, “Our anticipation is we’d roll it out there all at once.”

He said that the IPO will be large enough to allow the government to sell enough of its 60.1 percent stake in the company.

“We want the government out. Period,” Whitacre said. “We don’t want to be known as Government Motors.”

- By: Omar Rana

Source: AutoObserver

GM CEO Ed Whitacre arrives in the Chevy Volt at the Austin Chamber of Commerce Luncheon

According to filings with the U.S. Securities and Exchange Commission, General Motors gave stock valued at a total of $6.66 million to 14 top executives, including $1.33 million worth to Chairman and CEO Edward Whitacre. Valued at $53.98 each, GM gave a out 123,347 shares, according to the filing.

The company said that it gives top executives stock and restricted shares to make up for their compensation, which is capped by the U.S. government. The U.S. Treasury Department owns 61 percent of the Detroit automaker.

Whitacre’s stock would be worth $2.31 million based on GM bonds – he also receives a $1.7 million annual cash salary. CFO Chris Liddell was provided 15,979 shares worth $862,500 along with his base salary of $750,000 a year.

- By: Stephen Calogera

Source: Automotive News (Subscription Required)

GM Chairman and CEO Ed Whitacre

The shakeups keep coming in the GM executive branch, as dozens of product development executives have been reassigned, and new heads of global product planning, powertrain engineering, and quality have been appointed. CEO Ed Whitacre has assumed control of global product planning. Spokespersons for the company verified that none of the moves involved employees leaving the company.

Other major changes include Steve Carlisle being assigned as VP of global product planning, as he will now be reporting to Whitacre. Carlisle replaces Jon Lauckner in his new position, who is now heading the venture capital unit under Vice Chairman Steve Girsky.

Dan Hancock, who has been VP of global powertrain engineering since 2005, has moved to the newly created position of VP of global strategic product alliances; he will focus on joint ventures and report to Vice Chairman Tom Stephens.

- By: Stephen Calogera

Source: AutoWeek

GM Chairman and CEO Ed Whitacre

General Motors’ Chairman and CEO Ed Whitacre has finally spoken about the Detroit automaker’s first-quarter profit… at least to his employees. In an e-mail sent to employees Monday, Whitacre thanked employees for their contribution and said that there is still more work to do to rebuild confidence among consumers and growing the business.

In the e-mail, Whitacre told employees that the $865 million first-quarter profit was a sign of progress and that he hopes there will be additional profitable quarters moving forward.

“We still have more work ahead to rebuild consumer confidence and grow the business in an uncertain global economy,” Whitacre wrote.

The e-mail also struck a positive tone for employees and executives who survived Whitacre’s wave of job cuts.

“It’s good to know that we are moving forward,” Whitacre said. “I want to thank you for your hard work and dedication to General Motors. I appreciate your contributions…”

- By: Stephen Calogera

Source: Detroit News

From L to R: Alan Mulally, Sergio Marchionne, Ed Whitacre

Compared to one year ago, Detroit”s big three automakers are showing a shocking turnaround. While Chrysler has only shown a slowing of their financial hemorrhage, Ford reported profits of $2.1 billion, and GM, despite not having yet reported a profit, has managed to pay off its $5.8 billion treasury loan early.

Though these numbers certainly paint a promising picture, experts remain skeptical. “I think for all three, this is a fragile recovery,” said Michelle Krebs, senior analyst for Edmunds.com. “We’re looking at an April where sales are down from March, and we don’t see the second half sales that robust. It’s going to be a little bumpy.”

The biggest challenge now for Chrysler is their lack of products in the pipeline; GM and Ford have considerably more vehicles set to rollout, while Fiat predicts that it will be a few years before we see a relevant influx of vehicles. Ford mentioned that its debt is still a weighing factor, as it was not able to clear the debt that GM and Chrysler did by declaring bankruptcy.

Experts agree that it is imperative for automakers to operate leaner than in the past. Recent factory closings have enabled the manufacturers to save large amounts of money, and one expert believes that Toyota”s recent problems will effect Perception of quality of domestics versus imports.

- By: Stephen Calogera

Source: CNNMoney

General Motors Chairman and CEO Ed Whitacre

General Motors’ Chairman and CEO Ed Whitacre is starring in his second commercial for the Detroit automaker. Whitacre uses the commercial to spread the word that it has paid back loans to U.S. and Canadian governments.

“We have repaid our government loan in full, with interest, five years ahead of the original schedule,” GM said. “We still have work to do, but we are making progress toward our vision of designing, building and selling the worlds best vehicles. We invite you to take a look at the new GM.”

Check out the commercial after the jump.

- By: Omar Rana

GM Chairman and CEO Ed Whitacre

General Motors’s CEO Ed Whitacre announced today that the Detroit automaker has made its final payment of $5.8 billion to the U.S. Treasury and Export Development Canada, paying back its government loans in full.

The announcement went hand-in-hand with the company’s announcement of an investment of $257 million at its Fairfax Kansas and Detroit Hamtramck assembly plants. The investment will prepare the Fairfax plant to build the next-generation of the Chevrolet Malibu sedan and will make Detroit Hamtramck a second source for Malibu production.

“GM is able to repay the taxpayers in full, with interest, ahead of schedule, because more customers are buying vehicles like the Chevrolet Malibu and Buick LaCrosse we build here in Fairfax,” said Whitacre. “We are now building some of the best cars, trucks, and crossovers we have ever built, and customers are taking note. Our dealers are increasing their sales, we are investing in our plants, and we are restoring and creating jobs.”

The U.S., Canadian and Ontario government originally provided $8.4 billion of loan as a part of the new GM launch. Today’s payment of $5.8 billion completes the payback of these loans.

“GM’s ability to pay back the loans ahead of schedule is a sign that our plan is working, and that we are on the right track. It is also an important first step toward allowing our stockholders to reduce their equity investments in GM,” said Whitacre. “We still have much hard work ahead of us, but we are making progress toward our vision of designing, building, and selling the world’s best vehicles.

“We appreciate the support the taxpayers have given GM, and our great new products are tangible results of that support,” he said.

GM said that sales of its four core brands (Chevrolet, Buick, GMC and Cadillac) are up 36 percent through March versus the same period in 2009. It said that the Chevy Equinox, Camaro and Traverse; GMC Terrain and Acadia; Buick LaCrosse; and Cadillac SRX ““ remain in short supply at GM dealers due to high demand.

- By: Omar Rana