CEO of General Motors announces retirement as IPO is expected in days

General Motors had a tumultuous last few years. Dismal sales and business debt led to bankruptcy filing and getting bailout loans from the government. GM was placed under government conservatorship, and the terms of the bailout included that the government held a majority of shares. GM did a lot when they were in bankruptcy. Ed Whitacre Jr., Chairman and CEO of General Motors, announced he would retire, and an Initial Public Offering of stock for General Motors is expected within days of his announcement. Article resource – General Motors CEO Retires days from public offering by Car Deal Expert.

CEO of GM Ed Whitacre to hang it up

General Motors Chief Executive Officer and Chairman of the board Ed Whitacre Jr. is going to retire, according to the New York Times. Before GM hired him, he was the chairman of At and T. Previous Nextel executive Daniel Akerson can be his replacement. Whitacre will step down as CEO by September and step down as Chairman at the end of the year. Whitacre had stated previously he would retire once General Motors was back on track. That certainly appears to be the case.

GM goes from pitfalls to profits

After filing for bankruptcy last year and turning over majority ownership to the governments of the United States and Canada, General Motors has posted a profit for the second consecutive quarter. According to USA Today, GM has just posted a profit of $ 1.3 billion. In the second quarter of 2009, GM had missed a huge debt payment. GM posted a profit last quarter, as outlined by CNN Money, of $ 865 million. Things are looking up for the global automobile giant, after having to divest of all brands except Cadillac, Buick, Chevrolet and GMC.

GM IPO expected soon

General Motors is no longer listed on stock exchanges because of its bankruptcy, and could have to hold a public offering to buy back the 60 percent of shares the government holds and settle the Treasury. Chris Liddell, the Chief Financial Officer for GM, hasn’t commented much on the subject. General Motors, in its new lean and mean configuration, may hold an Initial Public Offering at the highest price ever paid for stock within the company.

Additional reading at these websites

NY Times

nytimes.com/2010/08/13/business/13auto.html?_r=1 and src=mv

USA Today

usatoday.com/money/companies/earnings/2010-08-12-gm_N.htm

CNN

money.cnn.com/2010/08/12/news/companies/gm_results/