Despite General Motors’ $15.5 billion second quarter loss, GM’s board of directors is still in favor of Rick Wagoner as the company’s chairman and CEO. GM’s 13 member board was in Detroit on Monday and Tuesday for a previously scheduled meeting.
“The board has expressed support for Rick Wagoner and the GM management team on several occasions and that has not changed,” GM spokesman Steve Harris told The Detroit News.
Although Wagoner has been at the General’s helm since 2000, most industry analysts agree that now is not the ideal time to make a change at the top. “I can understand the pressure, but from where I sit, it’s hard to see anybody else coping any better than what they have done,” David Healy, an auto analyst with Burnham Investment Securities, said. “I’m not sure changing horses mid-stream is a good idea.”
Wagoner announced a plan last month to ramp up GM’s North American turnaround, which included a $15 billion infusion of cash and further vehicle and job cuts.
