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Calls Build for GM's Wagoner to 'Move On'

Dodd, Obama hint a change at the top is in order to get bailout

By Jim O'Neill,  Newser User

Posted Dec 8, 2008 6:31 AM CST

(Newser) – Sen. Chris Dodd wants General Motors CEO Rick Wagoner “to move on” and a new management team in place if a government bailout is going to move forward, reports the Wall Street Journal. While not making it an outright condition for a rescue package, the Connecticut Democrat told CBS’ Face the Nation that "You've got to consider new leadership."

Projected to run out of cash before year's end, GM and Chrysler are both seeking billions in short-term loans. Wagoner, who’s been CEO since 2000, is facing pressure on many fronts to leave. President-elect Barack Obama said management has to be willing to make tough choices or leave, and a top adviser to billionaire Kirk Kerkorian is calling for board changes as well.



General Motors CEO Rick Wagoner arrives on Capitol Hill in Washington, Thursday, Dec. 4, 2008.
General Motors CEO Rick Wagoner arrives on Capitol Hill in Washington, Thursday, Dec. 4, 2008.   (AP Photo/J. Scott Applewhite)
General Motors CEO Rick Wagoner testifies at a Senate Banking, Housing, and Urban Affairs hearing on the automotive industry bailout.
General Motors CEO Rick Wagoner testifies at a Senate Banking, Housing, and Urban Affairs hearing on the automotive industry bailout.   (AP Photo/Gerald Herbert)
General Motors CEO Rick Wagoner speaks to the Economic Club of Washington Tuesday, Sept., 16, 2008, in Washington.
General Motors CEO Rick Wagoner speaks to the Economic Club of Washington Tuesday, Sept., 16, 2008, in Washington.   (AP Photo/Lauren Victoria Burke)
GM Chairman and CEO Rick Wagoner fields questions at a news conference prior to attending the annual shareholders meeting Tuesday, June 3, 2008 in Wilmington, Del.
GM Chairman and CEO Rick Wagoner fields questions at a news conference prior to attending the annual shareholders meeting Tuesday, June 3, 2008 in Wilmington, Del.   (AP Photo/Bradley C Bower)
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If this management team that's currently in place doesn't understand the urgency of the situation and is not willing to make the tough choices and adapt to these new circumstances, then they should go."
- President-elect Barack Obama

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COMMENTS
Showing 3 of 3 comments
John
Dec 8, 2008 2:27 AM CST
I love the fact that none of this financial mess is the republican's fault. They did not do anything wrong over the past 8 years and could not have stopped any so-called Clinton initiatives!! Right
Guest
Dec 7, 2008 9:56 PM CST
Thank you for taking the time to read this. GM has a major delema in which hundreds of thousands of vehicles are made with defective engines and GM refuses to address them. Imagine this, you have a new GMC/Yulon XL, leather seats, third row, 4WD/Auto etc $36,000+. It has under 60,000 miles and should be under warrantee. When you start up the gas engine in the morning, it sounds like a diesel, and you swear to God the pistons ae going to come out through the side of the engine. This last about 20-30 seconds or 2 blocks when you drive it, normally. This effects all the engines made by GM. I have had my SUV in the dealers only to be told this is normal and even though the sound and extemely loud knock is there, GM says it has no adverse effects on the engine. I will send you links showing the problems with the GM engines. Like one engine manufacturer told me, "There is no such thing as a good knock". We, the public need help on this and need this info to be brought to the CEO's attention of GM in front of everyone so that this repair can be fixed and the public can move forward so we and our families can feel safe in our vehicles. Here are some of the links; http://www.pistonslap.com/tsb.htm http://www.complaints.com/march2002/complaintoftheday.march12.13.htm GM refuses to take care of this problem that they are very well aware of it. So what incentive do we have to purchase another GM product? After this article came our about the defective engines our resale value dropped dramatically (-$15,000) so it was useless to turn the vehicle in for a newer one. Kind of a catch 22. And we, as the public, are held hostage about this issue with the defective GM engines. Thank you for taking the time to read this. Can you spare some time to help us here?
Guest
Dec 7, 2008 8:15 PM CST
Sorry. Dodd and Frank should both move on as well. They caused this financial crisis with subprime loan requirements under Clinton.

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