Former Chrysler chairman and CEO Lee Iacocca has faith in the current lot of chief executives of the Big Three automakers, but he may be the only one. Iacocca, who is often credited with turning Chrysler around after its 1979 government bailout, believes that they should not be forced to quit as a condition of receiving government bailout money, according to wire reports.
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"Having been there, I do not agree with the sentiment now coming out of Congress that the management should be changed as a condition of granting loans to the Detroit automakers," Iacocca said. "You don't change coaches in the middle of a game, especially when things are so volatile."
Well, some may beg to differ. Remember Billy Martin? He was fired by Yankees owner George Steinbrenner three times for not living up to his high expectations.
Senate Banking Committee Chairman Chris Dodd, D-Conn., is leaning toward the Steinbrenner school of management, leading the call for the dimissal of the three leaders of the U.S. car companies should they receive government help.
Iacocca is known for turning around Chrysler in the 1980s after the federal government lent the automaker $1.2 billion in 1979. With the introduction of new models such as the Chrysler K-car and the first minivans, Chrysler repaid the debt within three years, seven years
earlier than the terms. - Gerald Magpily
See Associated Press article via BusinessWeek
