Henderson out as CEO at General Motors

(December 2, 2009) The General Motors board and CEO Fritz Henderson parted ways Tuesday, the board upset that the automaker's turnaround wasn't moving more swiftly and Henderson frustrated with second-guessing, two people close to the former CEO said.

Board Chairman Ed Whitacre Jr., the former head of AT&T Inc., will take over as CEO while a global search is conducted.

It was becoming clearer today that Henderson did not make the first move, but was asked to step down. The surprise resignation, which came just hours before Henderson was to be the high-profile keynote speaker at the Los Angeles Auto Show. At a hastily called news conference at General Motors Co.'s downtown Detroit headquarters, Whitacre would not answer questions, but said the board and Henderson agreed that he should step down.

Whitacre thanked Henderson, 51, a lifelong GM employee, for his leadership and said the company is on the right path toward offering high-quality cars and trucks worldwide.

"We now need to accelerate our progress toward that goal," the 68-year-old Whitacre said in a brief appearance.

Both men were chosen for their jobs by the U.S. government, which owns more than 60 percent of the Detroit automaker in exchange for giving it billions in loans. But Henderson is a GM insider, while Whitacre is an outsider to the whole industry.