dapoes
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Interesting post. I bet if we really thought about it we could come up with half a dozen more.
Chrysler/Fiat comes to mind. Fiat is hiring for their re-introduction in the US market. Other than that I'm not certain how that is all going to work. Ford is kicking butt right now and it's not because they didn't take the bailout. Fact is they were poised for a turnaround and saw the bailout as a distraction with to many strings attached. Plus they have a strong leader and generally better Labor Relations,
Just look at the guy they put in to run GM. Couldn't pick a worse candidate.
GM Chief Executive Officer (CEO) and Chairman of the Board Dan Akerson.
Akerson is not and never has been a car guy. He himself said so. What is he? He is a DC-connected, Wall Street hedge fund big coin guy.
Akerson’s immediately preceding gig was Managing Director and head of Global Buyout for the incredibly inside-the-Beltway-connected Carlyle Group.
This hip-joined relationship with the federal Leviathan means Akerson’s a cardboard cutout for the real CEO of Government Motors – U.S. Treasury Secretary (and yet another fellow DC-Wall Streeter) Tim Geithner.
Which could mean very bad things for the US taxpayer owners of Government Motors.
Hedge fund guys are very fond of taking massive risks in pursuit of short-term profits. And that’s fine - when they’re doing it with their funds.
But as CEO of GM, he’s rolling the dice with OUR funds. Not nearly as fine.
Running a car company requires LONG-term thinking. Determining the right cars to design, make and bring to market is chess, not checkers. You don’t plan quarter-to-quarter or even year-to-year – you plan YEARS out in advance.
So why do we have a Global Buyout private equity guy – the king of day-to-day decision making – running GM?
Because this is Government Motors. Which means political decisions trump automotive business ones. And there’s an election coming up
Read more at the Washington Examiner: http://washingtonexaminer.com/blogs/opinion-zone/2011/03/general-motors-what-tarp-looks-0#ixzz1IZC345ZI