Automotive News reports General Motors will release Thursday the results of attorney Anton Valukas’s three-month independent internal investigation into how and where the automaker went wrong before recalling 2.6 million vehicles affected by an out-of-spec ignition switch linked to 47 accidents and at least 13 fatalities. The announcement will come at 9 a.m. Eastern via webcast, with what CEO Mary Barra says will be an “unvarnished” look at the events surrounding the recall. In addition, GM will have an update on plans for compensating victims of the switch, though the attorney heading up the affair, Kenneth Feinberg, says a formal announcement won’t come until a few weeks down the road. Reuters adds the Valukas report will likely exonerate Barra, former CEO Dan Akerson and other senior execs and board members of any wrongdoing over the recall, with “a number of people” to be formally dismissed from the company due to their ties to recall. The report will be turned over to the federal government by the end of June.
Last week, the B&B learned from former General Motors CEO Dan Akerson that current CEO Mary Barra did not know about the ignition switch that has since given his old company a months-long headache. The B&B then asked if Akerson himself knew of the problem on his way to be at his wife’s side and that of his colleagues at The Carlyle Group.
Automotive News reports the answer is “No.” In a post on Forbes magazine’s blog, both he and GM chair Tim Solso claim they didn’t know about the ignition switch issues at the heart of the February 2014 recall of 2.6 million vehicles. Akerson stated that if he had known about the problem, Barra would have been made aware as he handed the reins of the automaker to her in late December 2013. Solso says he didn’t become aware until after Barra called him to let him know the bad news, having become a non-voting member of the board in the following January.
Automotive News reports former General Motors CEO Dan Akerson proclaimed in an interview with Forbes magazine that current CEO Mary Barra had no knowledge of the out-of-spec ignition switch that led to the February 2014 recall of 2.6 million vehicles, going as far as to bet his own life on the statement. Barra added the fallout from the recall is a chance for GM to not only “do the right thing and serve the customer well through” the crisis, but “to accelerate cultural change” within the company. Akerson passed the torch to Barra in December 2013 to take time to care for his ailing wife, and has since rejoined Carlyle Group as vice chairman on its board of directors.
The Detroit News reports U.S. District Judge Nelva Gonzales Ramos delivered a six-page ruling in favor of General Motors, saving the automaker from issuing a “park it now” order that would have proved costly both financially and in reputation. Had the order gone forward, it would have set a precedent that not even the National Highway Traffic Safety Administration could attempt in its limited penalty power. The attorney representing the plaintiffs in the lawsuit for the order, Robert Hilliard, may appeal.
Former General Motors CEO Dan Akerson has been named Vice Chairman to the private-equity firm Carlyle Group’s board of directors, where he will act as special adviser to the firm’s investment teams, managment and the board itself.
The hagiographic article by Bloomberg/Business Week on outgoing General Motors CEO Dan Akerson did exactly what Selim Bingol and the other PR honchos in the RenCen towers wanted it to do. With other news agencies and blogs amplifying the puffery and pulling quotes, the article got GM and Akerson a lot of good press. One of the quotes that got pulled the most was Akerson’s reference to a “moon shot” project giving GM’s next generation extended range electric vehicle a 200 mile range on battery power, based on breakthroughs in battery technology. It may be more of a moon shot than Akerson let on, since GM has cancelled its contract with that battery’s likely supplier, accusing it of “material misrepresentation”. (Read More…)
There will be a formal announcement by Dan Akerson later this morning, but now that the U.S. government has divested all of its bailout related shares in General Motors, Detroit radio stations are reporting that Dan Akerson will be stepping down as Chief Executive Officer of GM and be replaced by Mary Barra. Barra, who has been seen as Akerson’s possible replacement since she took over responsibility for global product development, will be the first woman to run a major American automobile company. More information later, after the Akerson press conference.
After talk of increasing the seperation between Chevrolet and Opel, GM has announced that it will axe the Chevrolet brand in Europe, despite previously aiming to make Chevrolet its low-cost brand, while signing a nine-year, $584 million deal to have the brand sponsor Manchester United football club.
With reports circulating that General Motors CEO Dan Akerson will step down sometime next year, the executive told Automotive News that he wants his successor to be a change agent and a risk taker. “There’s no prototypical CEO,” Akerson said. “A good leader has to be innately bright, intellectually curious. They have to be a change agent, never satisfied with the status quo.”
Akerson, whom some say brought more accountability to GM’s bureaucracy said, “You have to establish accountability and an orientation to risk, recognizing that we’re not a fault-free company,” he said. “Have the humility and audacity to say ‘I made a mistake,’ and back up and go down the other way.” (Read More…)
During a visit to USA Today‘s editorial offices, CEO Dan Akerson of General Motors clarified the question of a rear wheel drive Cadillac flagship. Akerson confirmed that Cadillac is indeed working on a RWD based model that will likely slot in above Cadillac’s current top of the line XTS sedan and probably go on sale in 2015.