Karl-Friedrich Stracke, the president of General Motors’ (GM) struggling European division, has stepped down, the company said this morning. He will take a new as-yet-unrevealed job at the company. Stephen Girsky, who had been leading a committee to try to reverse the company’s fortunes in the region, will take over as interim president.
Europe is clearly a sore spot for automakers even as U.S. sales rebound. Carmakers have struggled to sell vehicles there for years, and the current European downturn isn’t helping. GM is expected to lose $1.33 billion in Europe this year and $1.07 billion in 2013, the Detroit Free-Press notes. CEO Dan Akerson has said he wants the region to be profitable within five years.
The company is negotiating how to restructure its European operations with labor groups, says the Free-Press.
GM shares fell 2.3% in midday trading. Ford (F) is off 1.5%.
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