About The Authors

Tuesday, June 2, 2009

The Task Force

David Ruggles
I'm a vocal critic of a lot of what is being done in the auto business, but it is clear to me that "corporate restructuring specialists" are a specialized breed and it's quite likely that this skill set is not one held by many car people, if any. An executive from Alix Partners has been appointed to head the GM restructuring. They are the foremost restructuring specialists in the world. The sooner the restructuring is completed and the specialists are out of the way, the better. Putting car business people in charge a complex corporate bankruptcy might not be a good idea. Many corporations that handle it themselves do so under the auspices of specialized consultants, who are highly paid. Having said this, I'm not thrilled with the decision to cut dealers. It's not clear who made that decision. I'd sure like to find out [ad hominem attack deleted]!
But without gov't intervention it would have been Chapter 7 for Chrysler and GM and a shut down of auto production in North America for a period of long months.