An AFP report citing the Wall Street Journal said former General Electric (GE) executive and Home Depot (HD) CEO Robert Nardelli will be taking over the reigns of Chrysler.
Cerberus Capital Management LP is the new majority owner of the company, which Nardelli had become affiliated with since his departure from Home Depot.
Former CEO Tom LaSorda will become vice chairman and president of the company, the report said it isn't known at this time who will take over Chrysler's chairman position, although another report says Nardelli will serve as chairman as well.
The Journal also reported that chief operating officer Eric Ridenour will also probably leave the company.
This is a little surprising to me in light of the controversial way Nardelli left Home Depot with his huge compensation package, lack of company direction and lagging stock price. Most believe if the stock price had gained more, the compensation issue would have been a mute point.
Still, he did perform well at General Electric and was one of three candidates chosen to vie for the outgoing CEO Jack Welch.
I think Nardelli eager to show he can take a big company and make a success of it. But with the industry he's chosen to do it in, I'm not sure the best of business leaders could do much with it.
When you consider how low Chrysler is, it does leave some room to bringing it up, with not much more downside left in it.
Another factor is the company has been taken private, so the compensation issue won't be of any real relevance. I don't think he would have been chosen if it was still a public company.
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At age 76 my belief was that Chrysler had one of the great American vehicles. NOPE ! My Town and Country 2008 Van has a loud wrench on wrench knocking klank, klank, klank after driving it four plus miles and turning off the engine. The dealer says: "That is normal for the catalytic converter to contract and make the noise. It is designed that way." I say gentlemanly: "Baloney." Too, at one mile per hour or so stop or go makes front end noise like it needs a grease job, but dealer say: "That's normal. That is the design. The brakes make that noise because of new design with more metal on the brake shoes and disc. More "Baloney"
Another subject area is the sliding doors. They moan, grind, and squeel when opening or closing. The dealer says that is normal; the motors make that noice. More Baloney Bunkum. I say they need lubrication, or/and adjustment.
If these features are new designs, I say: All progress is not necessarily forward. Get rid of those Chrysler designers and management, and return to a quiet design for these features. After spending about $37,000 on this new 2008 van, I expect it to be without these adversities !
Posted by: Doc | June 12, 2008 12:43 PM | Permalink to Comment