GM CEO Rick Wagoner Resigns At Obama's Request

Update: This is something of a surprise. Politico is reporting that it was the White House who asked Wagoner to quit, as a bailout condition.

Quite different treatment than what the bank CEOs got, no?

Original post: The AP is reporting that GM CEO Rick Wagoner is stepping down. The word comes from a source familiar with the situation, though there’s no confirmation from the company yet.

The resignation comes on the eve of Barack Obama’s plan to outline the latest auto bailout:

WSJ: On Monday, President Obama will lay out the administration’s interim conclusions on the companies’ viability and the many steps that need to be taken to return the companies to health. The president is likely to hold off on granting new loans to preserve leverage in ongoing negotiations, particularly with the thousands of bondholders who hold a total of about $28 billion in GM debt.

The government is pressuring the bondholders to agree to an equity swap that would reduce GM’s debt load by two-thirds. Read the whole thing >

CNBC wonders if the resignation is a stipulation of the new bailout — it’s possible, but it’d also represent a horrible standard compared with the ridiculous kid gloves treatment afforded Wall Street CEOs, who have largely been allowed to remain in place.

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