White House 'forces out GM boss'

CEO "told to go" as Obama prepares to unveil second carmaker bailout.

    Wagoner spent eight years leading US car
    giant General Motors [AFP]
     

    Wagoner had come under fire for his leadership of ailing company late last year when US politicians debated a bailout for the carmaker.

    Bailout plan

    Obama said the companies needed to do more if they were to qualify for further government bailout funds.

    "They're not there yet," Obama told CBS television in an interview aired on Sunday.

    "We think we can have a successful US auto industry. But it's got to be one that's realistically designed to weather this storm and to emerge - at the other end - much more lean, mean and competitive than it currently is."

    Last week, Obama cited mismanagement "over the years" for some of the car industry's financial problems.

    The industry has been pushed to the brink of bankruptcy, attributed to the global economic crisis, as car sales decline.

    GM and Chrysler have asked for another $21.6bn on top of the $17.4bn in emergency loans approved in December.

    Ford, the other member of so-called "Big Three" US carmakers, has said it has enough money to survive the downturn without government aid.

    SOURCE: Agencies


    YOU MIGHT ALSO LIKE

    'We scoured for days without sleeping, just clothes on our backs'

    'We scoured for days without sleeping, just clothes on our backs'

    The Philippines’ Typhoon Haiyan was the strongest storm ever to make landfall. Five years on, we revisit this story.

    How Moscow lost Riyadh in 1938

    How Moscow lost Riyadh in 1938

    Russian-Saudi relations could be very different today, if Stalin hadn't killed the Soviet ambassador to Saudi Arabia.

    Unification: Saladin and the Fall of Jerusalem

    Unification: Saladin and the Fall of Jerusalem

    We explore how Salah Ed-Din unified the Muslim states and recaptured the holy city of Jerusalem from the crusaders.