Thursday, August 12, 2010

GM's New Part Time CEO?

Board member Daniel Akerson is in line for GM's CEO seat. Akerson serves on seven boards and is Managing Director/Head of Global Buyout for The Carlyle Group.

A large blot on Akerson resume is XO Communications. That bankruptcy and the Wall Street crash caused Erskine Bowles to search for a new fortune. Bowles gets to steer favorable investment tax policy as co-chair of Obama's Deficit Commission. Like Bowles, Ackerson is handsomely compensated for his board work. His 2009 pay and stock holdings were:

American Express- $232,924
GM- $93,111 for 5 months of work
Booz Alllen Hamilton- not available, private company
HCR ManorCare- private company
MultiPlan- private company
Freescale Semiconductor- private company
The Nielsen Company- private company

Ackerson holds 75,067 shares in American Express, valued at $3.1 million.

Does Daniel Akerson have the skills for the job? GM has four subsidiaries in the Cayman Islands, much like Carlyle Group. Daniel would take GM public. Carlyle has experience with IPO's, considering their great "cash-in."

Ackerson can manage under today's greed model. My question is did taxpayer recapitalization turn the CEO position into part-time work?

Update: Ackerson is leaving Carlyle. No word on the board slots. He did get a whistle serenade at his Carlyle departure.

Update 2: President Obama
was briefed on the change at GM, and praised Akerson's appointment.