Sign in to follow this  
Followers 0
NINETY EIGHT REGENCY

GM Europe head quits following Opel U-turn: source

10 posts in this topic

GM Europe head quits following Opel U-turn: source

FRANKFURT (AFP) - General Motors Europe head Carl-Peter Forster is quitting in disgust at GM's decision to hang on to its European unit Opel/Vauxhall, a well-informed source told AFP on Friday.

The source confirmed a report in the Spiegel magazine, saying: "I expect a withdrawal by Forster within a week."

GM executive vice president David Reilly would replace Forster, as GM seeks to soothe anger over its decision to abandon this week a sale of Opel to Canadian group Magna and Russian partner Sberbank, Spiegel said.

"I cannot comment," a spokesman for General Motors Europe and Opel told AFP, adding: "If there are any personnel decisions we will make a statement on it."

Forster was a keen supporter of Magna's bid.

On Thursday, GM chief executive Frederick "Fritz" Hendersen told reporters in Detroit that he would pick a new management team for Opel and its British sister brand Vauxhall within "days or weeks."

GM has decided to restructure Opel/Vauxhall itself, with the elimination of at least 10,000 jobs and possibly the closure of German factories, a move that has sparked widespread anger in Germany.

Germany is home to about 25,000 Opel workers, roughly half of GM Europe's total workforce, and the government had lobbied hard for Magna's bid in hopes of keeping all the German plants running.

Berlin had promised 4.5 billion euros (6.6 billion dollars) in state aid to Magna, angering other European countries where the loss-making Opel has workers because of fears they would bear the brunt of badly needed restructuring.

GM is now expected to seek aid from Germany and other European countries to carry out a three-billion-euro revamp. A German government spokesman said Friday he expected GM to provide details of its plans next week.

German Economy Minister Rainer Bruederle has called GM's behaviour "totally unacceptable" while North Rhine-Westphalia state premier Juergen Ruettgers said the move revealed "the ugly face of turbo-capitalism."

Hendersen acknowledged that "we have some fence-mending and repair that needs to be done."

Spiegel said that Reilly, who is British, brought with him Asian experience with GM's Chevrolet brand, which has increased sales in Europe as Opel has lost market share, calling the mooted nomination "a new provocation for Opel."

Reilly is considered a specialist in restructuring, and could make life difficult for workers at European plants, the magazine added.

Reilly, who has been based in Shanghai, also has experience at British Vauxhall plants in Luton and Ellesmere Port, two sites that welcomed the GM decision cautiously in hopes they might fare better than under Magna's ownership.

Just before GM made its announcement on Tuesday, Forster still appeared to believe the deal with Magna would go through, while saying it might take longer than expected.

LINK:

http://ca.news.yahoo.com/s/afp/091106/busi..._gm_opel_reilly

0

Share this post


Link to post
Share on other sites

GM Europe boss Forster to leave company, report says

Head of GM's international unit, Nick Reilly, seen as replacement

NOVEMBER 6, 2009 11:46 CET

FRANKFURT (Reuters) -- The head of General Motors Co.'s European business, Carl-Peter Forster, is leaving the company following the surprise decision by GM's board this week to block the sale of Opel, Spiegel Online reported on Friday.

Forster was widely expected to run an independent Opel under jilted suitor Magna International Inc., and his departure would mark the first high-profile manager exit as a result of the failed deal that has triggered a storm of outrage in Germany.

GM plans to replace him with Nick Reilly, the Shanghai-based head of its international operations, Spiegel Online reported, adding the choice was a further provocation to an already angry Opel work force.

Reilly, a former managing director at Opel's UK sister brand Vauxhall, leads the Chevrolet brand, which has long been favored in Detroit's growth plans at the expense of an Opel strategy designed to keep it within the confines of the European market.

Forster, a former BMW executive and son of a German diplomat who speaks perfect English, had strained ties with Detroit after speaking out in favor of the Magna deal.

A spokeswoman for GM Europe declined to comment on the report. Opel said Forster was still chairman and an announcement would be made should there be changes.

0

Share this post


Link to post
Share on other sites

I would like to dedicate this song to Carl Peter- Forester formerly of GM -Europe and Opel and the Germans and The Russians:

Face It Girl, Its Over

http://www.youtube.com/watch?v=GTU1xIMxMCI

http://www.youtube.com/watch?v=XGOlDAvw0ng...feature=related

Face it, Carl, It's Over

When you look into the Germans eyes

And Magna turns away

Sitting at a corner table

And there's nothing much the Russians can say

Does GM have to draw you pictures

Does GM have to spell it out

Face it Carl, its over

Wo-oyeah, its over

When PCS glances at his watch

And it isn't late

And you try to amuse him

And he doesn't concentrate

Just how plainly can he tell you

Does he have to shout out loud

Face it Carl, its over

What's the use in hanging on

As the Opel dream slowly slips away from you

Don't go along for the ride

Keep some semblence of pride

There's really nothing you can do

There ain't nothing you can do Carl

So the time has come, I know, for your last good-bye

Guess you'll have to go on living, when its easier to die

Get the strength enough to take it

Take it like a traitor should

know, I know,

I

know its over

Its over

You better face it Carl

Get the strength enough to take it

Take it like a traitor should

know, I know,

I

know its over

Its over

Edited by NINETY EIGHT REGENCY
0

Share this post


Link to post
Share on other sites
I would like to dedicate this song to Carl Peter- Forester formerly of GM -Europe and Opel and the Germans and The Russians:

Face It Girl, Its Over

http://www.youtube.com/watch?v=GTU1xIMxMCI

http://www.youtube.com/watch?v=XGOlDAvw0ng...feature=related

Face it, Carl, It's Over

When you look into the Germans eyes

And Magna turns away

Sitting at a corner table

And there's nothing much the Russians can say

Does GM have to draw you pictures

Does GM have to spell it out

Face it Carl, its over

Wo-oyeah, its over

When PCS glances at his watch

And it isn't late

And you try to amuse him

And he doesn't concentrate

Just how plainly can he tell you

Does he have to shout out loud

Face it Carl, its over

What's the use in hanging on

As the Opel dream slowly slips away from you

Don't go along for the ride

Keep some semblence of pride

There's really nothing you can do

There ain't nothing you can do Carl

So the time has come, I know, for your last good-bye

Guess you'll have to go on living, when its easier to die

Get the strength enough to take it

Take it like a traitor should

know, I know,

I

know its over

Its over

You better face it Carl

Get the strength enough to take it

Take it like a traitor should

know, I know,

I

know its over

Its over

what a cool poem... I believe GM is going to find its way out of this, exactly as it did in US.

German gov is going to support. GM has put them in a situation which German gov can do nothing but paying

0

Share this post


Link to post
Share on other sites

Your content will need to be approved by a moderator

Guest
You are commenting as a guest. If you have an account, please sign in.
Reply to this topic...

×   You have pasted content with formatting.   Remove formatting

×   Your link has been automatically embedded.   Display as a link instead

Loading...
Sign in to follow this  
Followers 0