In an effort to save automakers General Motors and ultimately Chrysler, the U.S. government is calling for a plan that would split GM into a good car/bad car company and request for the struggling automaker to file for a pre-arranged bankruptcy. Auto industry legends weigh in on President Obama’s push for the right solution.
Auto Legends’ Strategy for Change
"The name of the game now is to look forward and for these companies to move forward to do whatever has to be done to fix themselves."
—Jerome York, Harwinton Capital CEO
"This is a historical chance to get it right and if you’re not going to get it right now there is going to be a disaster down the road."
—Mike Jackson, AutoNation chairman/CEO
Bailout vs. Bankruptcy
"The best outcome is that the federal government and the management of both companies have got to demonstrate that they really are serious that they are going into bankruptcy unless all of the players do what they have to do to keep them from going into bankruptcy. So far all the signs are they really need it."
—Gerald Greenwald, Greenbriar Equity Group founding partner
Wilbur Ross’ Forecast for Detroit
"I don’t think government should have any kind of ongoing role in the management of the company. I think Fritz Henderson is a very good choice. I think he is a real agent for change and is really into the details. He has already announced there will be more closures and more layoffs of staff – that’s the kind of decisive action that has been needed therefore a while."
—Wilbur Ross, Jr., WL Ross & Co. chairman/CEO
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