GM's European CEO resigns

GM's European CEO resigns
Robert Snell and Christine Tierney The Detroit News
November 08, 2009 12:02 PM

Detroit -- Carl-Peter Forster, chief executive of General Motors Co.'s European operations, will leave the company, the automaker said Friday.

Forster's departure is not surprising, and the move is not expected to further disrupt Opel's operations, already strained by months of sales negotiations.

Nick Reilly, executive vice president in charge of GM's international operations, will fill in for Forster on an interim basis, sources said. According to several published reports, GM Vice Chairman Bob Lutz will be interim chairman of the Opel supervisory board, which functions like a U.S. board of directors but includes labor representatives.

People familiar with the situation say Forster had drifted apart from GM's headquarters management during the negotiations to sell Adam Opel GmbH to a consortium led by Canada's Magna International Inc.

Germany-based Opel represents the bulk of GM's business in Europe, and, in a surprising reversal, GM said this week that it would retain the carmaker.

Forster, a former BMW executive, had previously turned down an offer for a bigger job at GM's Detroit headquarters, the sources said.

But his departure was framed in amicable terms. Forster will advise GM as it searches for a new boss for its European operations, GM said in a statement.

"The Opel brand has made tremendous progress under Carl-Peter's tenure and leadership over the past several years," GM President and CEO Fritz Henderson said.

"We thank him for his significant accomplishments and wish him only the best in the future."

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