GM CEO resigns
General Motors’ CEO Frederick “Fritz” Henderson has resigned after eight turbulent months as head of the largest U.S. automaker.
The company said Tuesday that Chairman Ed Whitacre Jr. will serve as interim CEO. The company plans an international search for a new president and chief executive. At a news conference in Detroit, Whitacre read a brief statement thanking Henderson for his work during a period of challenge and change. But he said the restructuring of GM will now be speeded up and governments repaid for the billions of dollars in loans provided to the company. Henderson, 51, succeeded Rick Wagoner on March 29 after the Obama administration ousted GM’s former CEO as the company worked through a government-led reorganization. Henderson spent the next few months working with the government to reorganize the automaker outside of bankruptcy, but eventually took the company into Chapter 11 protection in June.
Flaherty to give stimulus update
Finance Minister Jim Flaherty will present the fourth update on the federal government’s stimulus package in Winnipeg on Wednesday.
A federal source says he’ll show that 12,000 stimulus projects have been announced to date, and 8,000 of them are underway. Under an agreement negotiated with the Liberals last spring, Flaherty is obliged to submit quarterly updates on how the stimulus program is working. But the parliamentary budget officer has complained that the updates released so far are so lacking in detail and inconsistent in their format that they are not very useful. In his last update, Flaherty said 90 per cent of the government’s stimulus plan had been rolled out — a claim refuted by the Liberals. The government expects its stimulus package to create or maintain 190,000 jobs by the end of 2010, but employment statistics to date suggest the plan is far behind schedule.