GM CEO Fritz Henderson Stepping Down

[boomerang]

http://www.businessinsider.com/gm-ceo-fritz-henderson-stepping-down-2009-12

Breaking story. It's unclear if this a result of salary caps. I'm sure there are more lucrative positions for him or perhaps he's just going to fade away.

News conference is imminent.

 

[MikeMike]

ed whitacre... something GM needed, or not?

 

[waggy]

no suprise. IF he can't hire people because of pay caps then why take the blame when it fails?

 

[ElFenix]

well that didn't last very long

 

[boomerang]

Missed the beginning of the extremely short news conference.

http://www.cnbc.com/id/34227674

Looks as though Whitacre forced him out.

 

[marincounty]

Poor baby. I guess he can't afford to work that cheap.

Although Henderson isn't taking a $1 salary, his compensation package in 2008 was significantly less than Wagoner's, regulatory filings show. In 2008, Henderson received compensation valued at about $8.7 million. That included a base salary of about $1.7 million, stock options and restricted stock that the company valued at $6.6 million when it was granted. He also received $349,000 in other compensation, including $105,000 in security services.

 

[MikeMike]

marin... he was ASKED to resign, he did not do this himself... Whitacre is a take no names, no bs kind of guy... he is an outsider to the industry... and i believe he is what GM wants as a CEO... look what Mullaly did at Ford.

 

[AMDMaddness]

Ol Ed, this dude doesn't even know how to use Email..Honestly... He was the CEO of AT&T and is the reason they are sucking so bad lately. This man can take money and spend it in all the wrong places and work his employees to the ground and cut there pay and benefits to the point where the moral is horribly low and he in turn kills the company. AT&T is suffering from that man and a yes sir who took over for him and continues on Ed's ideas. I feel sorry for every GM employee and anyone who buys the New GM's Products. I love what Fritz daughter posted: http://jalopnik.com/5416549/daughter-of-resigned-gm-ceo-attacks-new-gm-ceo-on-facebook

 

[Double Trouble]

I don't know if Fritz was any good or not, so I don't know if him getting booted is a good thing or not, but this certainly doesn't bode well for GM:

Mr Henderson's pay was cut by 25% to $950,000, about half of what he made in 2008.

. Good luck attracting top talent when the person can make twice as much working elsewhere.

Sure, any of us would love a million per year job, but if the reality is that talented folks at those (ceo) type levels can make a lot more elsewhere, they're not going to want to work for GM. That's why the whole pay czar thing is stupid.

 

[boomerang]

I don't know if Fritz was any good or not, so I don't know if him getting booted is a good thing or not, but this certainly doesn't bode well for GM:

Quote:
Mr Henderson's pay was cut by 25% to $950,000, about half of what he made in 2008.

Good luck attracting top talent when the person can make twice as much working elsewhere.

Sure, any of us would love a million per year job, but if the reality is that talented folks at those (ceo) type levels can make a lot more elsewhere, they're not going to want to work for GM. That's why the whole pay czar thing is stupid.

You don't indicate where your quote is from so I'm not certain, but I don't think that salary figure is current.

http://www.washingtonpost.com/wp-dyn/content/article/2009/10/21/AR2009102102719.html

Under Feinberg's plan, cash salary for affected executives will go down by an average of 90 percent, according to a source with knowledge of the matter. That means an executive who received $1 million in cash salary last year would get $100,000 this year.

This position will go unfilled or will be filled by a recent grad from a businesss school in Guatamala.

Edit: Inserted quote that did not carry through.

 

[Robor]

Ol Ed, this dude doesn't even know how to use Email..Honestly... He was the CEO of AT&T and is the reason they are sucking so bad lately. This man can take money and spend it in all the wrong places and work his employees to the ground and cut there pay and benefits to the point where the moral is horribly low and he in turn kills the company. AT&T is suffering from that man and a yes sir you took over for him and continues on Ed's ideas. I feel sorry for every GM employee and anyone who buys the New GM's Products. I love what Fritz daughter posted: http://jalopnik.com/5416549/daughter-of-resigned-gm-ceo-attacks-new-gm-ceo-on-facebook[/B]

Holy crap, why doesn't she tell us how she really feels?

 

[charrison]

Ol Ed, this dude doesn't even know how to use Email..Honestly... He was the CEO of AT&T and is the reason they are sucking so bad lately. This man can take money and spend it in all the wrong places and work his employees to the ground and cut there pay and benefits to the point where the moral is horribly low and he in turn kills the company. AT&T is suffering from that man and a yes sir you took over for him and continues on Ed's ideas. I feel sorry for every GM employee and anyone who buys the New GM's Products. I love what Fritz daughter posted: http://jalopnik.com/5416549/daughter-of-resigned-gm-ceo-attacks-new-gm-ceo-on-facebook

ATT is suffering? they are performing quite well. You may not like ed, but he took SBC, the smallest baby bell and turn them into the largest US telco. That is hardly a track record of suffering.

 

[AMDMaddness]

ATT is suffering? they are performing quite well. You may not like ed, but he took SBC, the smallest baby bell and turn them into the largest US telco. That is hardly a track record of suffering.

At what cost? the stock holders made a nice windfall but it did nothing for the consumer and surely didnt help AT&T employees. His vision of power grabs and take overs does little for the people he has working/worked for him. I work on the cellular network side and I can assure you during all of these buyouts and take overs we did next to nothing major for 2 yrs on the network, it wasnt until the original Iphone came out that we even did any tweeks to the edge data service. We have since started spending substantial money again on the network but only after Verizon has continually kicked are arses and it was a must. GSM is the weak link and until UMTS is built out we will continue to suffer a bad rap and customer angst. They are two years behind thanks for ol Ed.

GSM technology---outdated and prone to choppy voice and dropped calls

CDMA technology--slightly less outdated but the calls either work or they dont due to the tech and its extremely high RX sensitivity and use of multiple sites at once.

 

[RyanPaulShaffer]

You heard it here first from me, folks!

Timmy Geithner: the next CEO of GM!

You laugh, but anything can happen with Government Motors.

 

[marincounty]

no suprise. IF he can't hire people because of pay caps then why take the blame when it fails?

They already failed, they're bankrupt. I'm sure they could hire some Japanese executives really cheap. Japan pays their executives much less-and their car companies haven't failed.

 

[heyheybooboo]

They already failed, they're bankrupt. I'm sure they could hire some Japanese executives really cheap. Japan pays their executives much less-and their car companies haven't failed.

Actually, their equity position is outstanding ($45-$50 billion IIRC with around $15 billion of their taxpayer loans in escrow).

They are on the verge of actually making money and have cut operations expenses by two-thirds.

They have paid back $700 million of a $1.3 billion loan from the Germans and will pay the US and Canada $1.2+ billion next month. Still a long way to go but it's a start.

And the maximum annual cash compensation is $500k ---- not that $100k propaganda listed above.


It's easier for people to believe the propaganda about GM because it suits their bias on ATP&N. Taxpayers may not get back every penny invested with interest but things are starting to look much better for GM.

But you wouldn't know that around here.



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