Outbreak of democracy at the General

[1931Chevy]

http://www.smh.com.au/news/business/...359817762.html

A YEAR after facing angry shareholders calling for his head, the chairman and chief executive of General Motors, Rick Wagoner, left Tuesday's annual meeting with his neck fully intact.
Shareholders soundly defeated a proposal that would have stripped him of one of his two jobs at the troubled car maker. The 79.6 per cent vote against the measure was a strong show of support for a man who this year had threatened to quit unless his board publicly backed him.
But the relative calm didn't extend to the company's directors as GM held court at the plush Hotel DuPont here for its 98th annual meeting.
Upending nearly a century of precedent, shareholders approved two measures opposed by the board that could make it easier for dissidents to elect a director of their own.
It was the first time in GM's history that a majority of voting shareholders have supported propositions opposed by directors.
"They are sending an accountability message" to GM directors in the wake of the car company's huge loss last year, said Cheryl Gustitus, spokeswoman for Institutional Shareholder Services, a Maryland stockholder rights group.
Still, the meeting itself was relatively quiet compared to last year's contentious session, in which dissident investors repeatedly called for Mr Wagoner's resignation. Even longtime GM critic Jim Dollinger, a management consultant and former top Buick salesman, seemed mellow.
Although he accused Mr Wagoner of misleading shareholders and continued to question his ability to lead the company, Mr Dollinger said after the meeting that he was pleased with its tone and outcome.
"I thought there was a high level of audience participation and that it was productive," he said.
Shareholder Mike Johnson wasn't so sure, though. "This was a non-event. I don't think the company will follow through" what the shareholders asked for, said the Philadelphia resident, who owns 150 GM shares.
The surprising victory of two recommendations - to allow cumulative voting by stockholders and to require a majority vote rather than a mere plurality to elect a director - sends a signal that shareholders were displeased with the board's performance, Ms Gustitus said.
Mr Wagoner and the board have been under fire since the company posted a $US1.3 billion ($1.76 billion) loss for the first quarter of 2005.
GM went on to lose $US10.6 billion for the full year but has launched an aggressive turnaround plan - including jobs cuts, factory closures and asset sales - and turned in a $445 million first-quarter profit this year.
Nonetheless, GM's share of the crucial US market continues to slip, as Asian car makers, led by a surging Toyota, chew away at the market. At the end of May, GM's market share had fallen to 22.7 per cent, down from over 50 per cent in the 1970s.
GM also faces the possibility of a strike over proposed wage cuts at Delphi Corp, its largest parts supplier.
The Los Angeles Times

[56 socal. chevy]

I think GM's market share will go up around 2009-10 thats when most of the new models are coming out or a little earlier. Gm will rise again! just wait and be patient, it will happen. Wether toyota fans like it or not.lol

[NemesiSupra]

Originally Posted by 56 socal. chevy

I think GM's market share will go up around 2009-10 thats when most of the new models are coming out or a little earlier. Gm will rise again! just wait and be patient, it will happen. Wether toyota fans like it or not.lol

I hope Gm is not as ignorant as some of its fans.... market share market share market share......

last time i checked GM is still the worlds bigest car maker, to bad they lost 12 BILLION last year.... yahh market share, not making profit. market share is whats important.

[steverino]

Originally Posted by 56 socal. chevy

I think GM's market share will go up around 2009-10 thats when most of the new models are coming out or a little earlier. Gm will rise again! just wait and be patient, it will happen. Wether toyota fans like it or not.lol

Yeah, like do you think everybody is is standing still, plus here come the Chinese. They could snag about 1-2 pts. of market share which will have to come from the other manufacturers. The market will have to grow beyond the 16-17 million units of the past decade. The pie has to get bigger or else everybodys slice will be getting smaller.

GM should prepare for a profitable 20%, which should still keep them at #1.
If they are lucky enough to gain 1-2 pts above this mark (20%) the profits should be in the several Billion range.

[boblutzfan]

If GM is serious about stopping the loss of market share and profitability then they need to get the Lambda's out fast - and get a new Malibu to market ASAP. The SUVS and Trucks will take care of themselves. What GM needs is to start dominating in the segments it currently is weak in - that being just about everything but full size trucks and suvs.

GM needs to find a way to sell midsize sedans to retail customers and make money doing it!!!!

Where is the Aura already?

[mkaresh]

The big news here is that two votes passed despite board opposition. This has never, ever come close to happening before.

Aside from possibly affecting board elections, these votes send a signal that the board cannot take the shareholders' votes for granted. Even if all members were elected with over 95% of the vote...

[chevygurl72]

general motors needs more advertising. everywhere i look i see toyota. maybe if they boost their marketing and advertising maybe they might get more sales.

[Timekeeper]

Interesting thing, the only advertising I see in St. Louis is the Toyota's offering rebates.

[cfch3399]

Too bad no one asked for the heads of the directors. How many billions more does GM need to lose until someone realizes that these clown don't know what they are doing and don't deserve a dime?

[Joevette]

theres that d@mn mention of over 50% in the 70's again, writers these days don't know what they are talking about

[Buickman]

Originally Posted by cfch3399

Too bad no one asked for the heads of the directors. How many billions more does GM need to lose until someone realizes that these clown don't know what they are doing and don't deserve a dime?

As said in Wilmington:

"Mr Wagoner, you may remember that last year I called for your resignation. This year I am calling for the resignation of the entire Board of Directors, and for your indictment. You have misled investors. I don't mean the six large organizations which control two thirds of this company. I mean 'mom and pop' investors across America. I have a case and intend to present it."

Buickman
Founder
www.GeneralWatch.com

[69Firebird400]

Hey, our own Buickman made the newswire:

Still, the meeting itself was relatively quiet compared to last year's contentious session, in which dissident investors repeatedly called for Mr Wagoner's resignation. Even longtime GM critic Jim Dollinger, a management consultant and former top Buick salesman, seemed mellow.
Although he accused Mr Wagoner of misleading shareholders and continued to question his ability to lead the company, Mr Dollinger said after the meeting that he was pleased with its tone and outcome.
"I thought there was a high level of audience participation and that it was productive," he said.

http://www.gminsidenews.com/forums/member.php?u=15838

[plane]

Originally Posted by 56 socal. chevy

I think GM's market share will go up around 2009-10 thats when most of the new models are coming out or a little earlier. Gm will rise again! just wait and be patient, it will happen. Wether toyota fans like it or not.lol

Well, hopefully you also meant that for the rude toyota fans that like to post here.

[56 socal. chevy]

Originally Posted by plane

Well, hopefully you also meant that for the rude toyota fans that like to post here.

YES I DID! lol. Can't stand those guys. Thing is, since gm is so big they need the marketshare to stay a float. Making more profitable auto's can to. But we all know GM. so don't count on a higher profit margin on less cars.

[D C]

Originally Posted by mkaresh

The big news here is that two votes passed despite board opposition. This has never, ever come close to happening before.

That is huge news. Does anyone have handy the text of the proposals that passed?

Splitting the Chairman & CEO positions didn't make sense considering that it's the way most companies are. No surprise that it was defeated. The other two are more interesting.

Nevermind, I found them...
http://www.gm.com/company/investor_i...y06/Gm06ps.pdf
Proposals 7 & 8 I believe