"HK" wrote in message
m...
Eisboch wrote:


"HK" wrote in message
m...


Since the taxpayers basically own GM, the chief representative of the
taxpayers should be able to tell GM's CEO that it is over. That
company, and many other corporations, need fresh blood capable of
leading their companies in new directions.



This is going to be interesting in terms of how it is handled.
I am not questioning the request for Wagner to step down, but I am
interested in how his replacement is selected.

To my knowledge (I might be wrong) the bailout money received to date
was not given in exchange for stock in GM. Basically the government
money is subordinated debt, just like a bank loan.
There's no voting rights associated with it.

"Requesting" him to step down is probably a condition for additional
bailout money.
That's perfectly legal. But for the White House (Obama) to install a
new CEO without a vote from the GM Board of Directors (and possibly a
shareholder's meeting and vote, if he is also on the board) might
present some interesting legal issues.

We'll have to see what happens.

Eisboch


We have to get away from the idea that these damned boards of directors
are competent. Absent evidence, I think they are not. And we have to chop
up huge companies whose failures can kill our economy. Hugeness is not
serving the public's interest.

Why? Even Buffett tried to control the idiots and could not. Shareholders
be dammed, they did what they wanted, porking.

The board too so needs to be fired it isn't funny. They should have put the
brakes on 8 years ago. Most are drunkards in someones pocket.

Hopefully Obama will send GM to chapter 11 where they too can get kicked
out. Maybe take some VPs too. GM needs a top down rapid management change.