Michael Carpenter, GMAC's New CEO

GMAC Financial Services and its board of directors appointed Michael A. Carpenter the company's new chief executive officer, succeeding Alvaro de Molina after his resignation.

Carpenter, member of the board at GMAC, worked as CEO for Citigroup's Global Corporate & Investment Bank, Salomon Smith Barney, Travelers Life & Annuity and Kidder Peabody. He also held top management positions with GE Capital, General Electric and Boston Consulting Group.

"Mike Carpenter is a world-class CEO, and the board has great confidence that he is the right leader for GMAC at this pivotal moment. GMAC will benefit from Mike's broad and deep experience in banking, capital markets, turnarounds and corporate strategy," Franklin Hobbs, GMAC chairman said when announcing the appointment.

"In addition, as a GMAC board member, he has first-hand knowledge of GMAC and the challenges and opportunities the company faces in its drive to return to sustained profitability and to repay taxpayers."

Carpenter's task will be to turn around a financial company who is struggling to survive on taxpayer's money. The new CEO himself acknowledged the tough road ahead, but he says he is hopeful the company will be able to get back on track.

"A renewed GMAC is crucial to business and public sector efforts to bolster the U.S. auto industry, and we have a special obligation to the public to do everything we can to ensure GMAC succeeds," Carpenter said.

As a result of the new appointment, GMAC has asked the US Department of the Treasury to postpone its decision on the planned follow-on investment of Troubled Asset Relief Program funds until the new management assesses the situation.
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About the author: Daniel Patrascu
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Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
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