Report: GM board asked Whitacre to stay on for years or leave

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)