GM CEO steps down

#26
#26
volinbham said:
I've got no love for Waggoner but actions of the administration and Congress of late have created open season on white collar jobs - particularly executive level jobs. These people are the ones views as the problem and as expendable/replaceable.
Click to expand...

Well, if the Presidency is a highly recyclable job, why shouldn't theirs be?
 
#27
#27
volinbham said:
I've got no love for Waggoner but actions of the administration and Congress of late have created open season on white collar jobs - particularly executive level jobs. These people are the ones views as the problem and as expendable/replaceable.
Click to expand...

yup. the "average worker" no matter how overpaid is the good guy (GM union workers). the ceo no matter how underpaid is the bad guy (AIG and Citi CEOs).

oklavol said:
The govt, as the largest investor would be on the board of any of these companies if they were a private company and have every right to demand a CEO step down. This happens all the time in the private sector.
Click to expand...

absolutely correct.
 
#28
#28
oklavol said:
The govt, as the largest investor would be on the board of any of these companies if they were a private company and have every right to demand a CEO step down. This happens all the time in the private sector.
Click to expand...

Yes a board member can demand a CEO step down. However, other board members can disagree. It appears that the government is overriding the board (in spirit) in this case and becoming the defacto owner of GM.
 
#29
#29
volinbham said:
Yes a board member can demand a CEO step down. However, other board members can disagree. It appears that the government is overriding the board (in spirit) in this case and becoming the defacto owner of GM.
Click to expand...

General Government Motors.
 
#32
#32
volinbham said:
Yes a board member can demand a CEO step down. However, other board members can disagree. It appears that the government is overriding the board (in spirit) in this case and becoming the defacto owner of GM.
Click to expand...

ding,ding,ding
 
#42
#42
DC Vol said:
I gave due props.


"Free automobile repair is the right of every American"
Click to expand...


"I cannot sleep at night knowing that somewhere out there an American has malfunctioning power windows. It's time to right this injustice. For too long, Joe-Sixpack has sweated needlessly due to a faulty AC compressor."

--BO, 2010 State of the Union Adress
 
#43
#43
volinbham said:
"I cannot sleep at night knowing that somewhere out there an American has malfunctioning power windows. It's time to right this injustice. For too long, Joe-Sixpack has sweated needlessly due to a faulty AC compressor."

--BO, 2010 State of the Union Adress
Click to expand...
Think he'll cite LG or do you think he just presumes to speak for Joe Sixpack as well as LG does?
 
#44
#44
volinbham said:
Yes a board member can demand a CEO step down. However, other board members can disagree. It appears that the government is overriding the board (in spirit) in this case and becoming the defacto owner of GM.
Click to expand...

They have voting blocks, based on the number of shares they own. The govt being the largest investor could easily make this happen. Without the govt as an investor, the alternative is bankruptcy. No board is going to balk at this given the alternative. They aren't overriding anything.
 
Last edited:
#45
#45
i love how obama mentions the massive debt of gm during his press conference as the biggest problem. no mention of the union obligations which dwarf the debt service by a huge factor.
 
#46
#46
oklavol said:
They have voting blocks, based on the number of shares they own. The govt being the largest could easily make this happen. They aren't overriding anything.
Click to expand...
largest shareholder is immaterial until that largest shareholder owns a controlling block. The day our gov't holds a controlling block in any large public company is the day we're doomed.
 
#47
#47
oklavol said:
They have voting blocks, based on the number of shares they own. The govt being the largest could easily make this happen. They aren't overriding anything.
Click to expand...

there is no question that if a company is going under and a investor throws a "lifeline" that saves the company that that investor can make replacing the ceo contigent on receiving the $$$. the scary part is that the administration thinks they can figure out what is best for gm.
 
#48
#48
oklavol said:
They have voting blocks, based on the number of shares they own. The govt being the largest could easily make this happen. They aren't overriding anything.
Click to expand...

I don't know what their ownership stake is/would be - not even sure if they are taking common stock.

Second, as far as we know, there was no Board vote - this is based on planned further investment not current ownership stake.

It doesn't happen this way in corporate America. The government basically set the terms without the Board (it appears). No one can just buy a controlling stake and oust the CEO without following ownership/voting rules. The other owners of the company (shareholders) had NO SAY in this decision.
 
#49
#49
droski said:
there is no question that if a company is going under and a investor throws a "lifeline" that saves the company that that investor can make replacing the ceo contigent on receiving the $$$. the scary part is that the administration thinks they can figure out what is best for gm.
Click to expand...

They can set terms but the owners cast the vote of accepting the terms.
 
#50
#50
volinbham said:
I don't know what their ownership stake is/would be - not even sure if they are taking common stock.

Second, as far as we know, there was no Board vote - this is based on planned further investment not current ownership stake.

It doesn't happen this way in corporate America. The government basically set the terms without the Board (it appears). No one can just buy a controlling stake and oust the CEO without following ownership/voting rules. The other owners of the company (shareholders) had NO SAY in this decision.
Click to expand...
I don't know the ins and outs of the investment, but this might have been a part of helping the remaining shareholders retain at least some hope of value.
 
New posts
You must log in or register to reply here.

VN Store



Back
Top