A person with knowledge of General Motors' plans says Rick Wagoner will step down immediately as chairman and chief executive of the struggling Detroit automaker.GM and Chrysler wanted another $22 billion in government bailout money to survive. There's about $130 billion left in TARP. Instead of granting another bailout that would only keep the company afloat for about 3 months, news sources say President Obama rejected such calls and sought Wagoner's release.
The person asked not to be identified because Wagoner's plans have not been formally announced.
The move comes on the eve of President Obama unveiling his plan to reinvigorate the U.S. auto industry. Obama and other administration officials have said they would demand deeper restructuring from General Motors Corp. and Chrysler LLC before they would get any more government loans.
Also from McClatchy
"The government will grant Chrysler 30 days operating funds, but said it must merge with another carmaker in order to remain viable. Talks with Italian carmaker Fiat are underway."
