GM recall

Stateside
5:59 pm
Thu July 17, 2014

GM CEO Mary Barra defends general counsel in congressional hearing

Credit General Motors

Today brought the fourth appearance for General Motors and CEO Mary Barra before angry members of Congress.

This time a Senate subcommittee took a deeper dive into the ignition switch recalls and didn't like what it saw in GM's legal department.

Michigan Radio's auto reporter Tracy Samilton followed the event.

According to Samilton, GM's chief counsel Michael Millikin was in the "uncomfortable Senate spotlight" today.

When senators asked why Millikin still kept his job, Barra said she "respectfully" disagreed with them, and she defended Millikin as a man of "incredibly high integrity."

She said Millikin "had a system in place." Unfortunately, in this instance "it wasn't brought to his attention."

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Stateside
4:32 pm
Thu June 19, 2014

Mary Barra appears before House subcommittee on ignition-switch debacle

Credit General Motors

General Motors CEO Mary Barra appeared this week before a House subcommittee that is investigating the automaker's ignition-switch debacle.

Barra didn't sugarcoat the fact that GM bungled this terribly. She freely admitted their engineers knew about the switch problems 12 years ago, but didn't connect that to the airbag malfunction linked to at least 13 deaths.

And Barra had a litany of changes she's instituted in response, including firing 15 high-level employees.

Detroit News business columnist Daniel Howes says this has to go deeper.

“Members of Congress, to put it gently, (are) skeptical that a company like this with the track record that it’s had, particularly in the last five years, would be able to do that,” Howes said.

Howes says with exception of the president of GM, those at the top of the company are longtime General Motors people.

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Auto
9:13 pm
Wed June 18, 2014

GM chief Mary Barra back on Capitol Hill

Credit Dave Pinter / flickr

General Motors CEO Mary Barra was back on Capitol Hill today.

She was there to offer more testimony on the growing ignition switch recall problem which has been linked to 13 deaths and the recall of some six million GM vehicles.

Mary Barra was not alone. She came with independent investigator Anton Valukas and his 300-page report.

Detroit News Washington Bureau Chief David Shepardson says Valukas was able to answer questions about the report while Barra could focus on what GM was going to do in the future.

“Overall, the questioning was a lot gentler than last time, because the committees didn’t express frustration with Mary that she was not able to answer so many different questions,” Shepardson said.

“There are really no questions they could answer with the exception of the why.”

*Listen to full interview above.

Stateside
5:41 pm
Tue June 17, 2014

GM recalls another 3.4 million cars

Credit user paul (dex) / Flickr

The recall notices just keep coming.

The ignition-switch crisis took a big new turn Monday as General Motors recalled 3.4 million cars.
That's on top of the 2.6 million small cars already called back for ignition switches that can slip out of the "run" position if the key is carrying extra weight and is somehow jarred. That could cause the engine to stall and kill power steering, power brakes, and air bags.

The problem has been linked to at least 13 deaths and over 40 crashes. However, GM sales have not been greatly affected.

This latest recall comes as CEO Mary Barra prepares for what will undoubtedly be a rough session tomorrow on Capitol Hill before the House Energy and Commerce's Oversight and Investigations Subcommittee.

*Listen to full interview above.

Auto
11:23 am
Tue June 10, 2014

GM shareholders are in Detroit, and so are protesters

GM protesters outside the Renaissance Center
Credit Sarah Cwiek / Michigan Radio

GM shareholders meet today at the automaker’s Detroit headquarters—with protesters circling outside the Renaissance Center.

The protesters include family members of people who died in GM cars that have since been recalled.

GM has acknowledged 13 deaths as a result of faulty ignition switches. But victim’s advocates say that number is much higher, possibly more than 100.

Laura Christian’s daughter, Amber Marie Rose, died when the airbag in her 2005 Chevy Cobalt failed to deploy.

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Politics & Government
8:46 am
Sat June 7, 2014

The week in review: GM, a grand bargain, and pothole limbo

Credit user paul (dex) / Flickr

This Week in Review, Jack Lessenberry and Rina Miller discuss General Motor's CEO Mary Barra's response to the investigation of the faulty ignition switch recalls, what happens now for Detroit after the state agreed to give the city $195 million, and an update on road funding.

Week in Review interview for 6/6/14

Stateside
5:31 pm
Thu June 5, 2014

GM CEO Mary Barra says investigation revealed big flaws in ignition switch recall process

Credit Wikipedia

"We failed."

That was the painful self-assessment from General Motors today, as CEO Mary Barra unveiled the findings of an internal investigation into the automaker's ignition switch crisis.

The defective switches are linked to at least 13 deaths and 47 crashes over more than a decade.

Today Barra spoke to GM employees at a town hall meeting broadcast around the world.

Michigan Radio's auto reporter Tracy Samilton was at the town hall, and she joined us on today’s Stateside.

*Listen to our conversation with Tracy Samilton above. 

Stateside
4:33 pm
Thu May 29, 2014

GM approaches 5 years since bankruptcy

Credit John F. Martin / Creative Commons

At 8 a.m. on June 1, 2009, General Motors filed for Chapter 11 reorganization. That filing in the bankruptcy court in Manhattan was the start of a painful and historic journey for General Motors. 

Five years later, after a massive government equity investment, General Motors is doing well, although it has been rocked recently by the ignition switch recall controversy, and a blizzard of other recalls. 

Let's take stock of what GM has done in the last five years, and see if the prevention of job and income losses was worth the cost to taxpayers. 

Sonari Glinton is NPR's business reporter, and he joined us on Stateside. 

*Listen to the full interview above. 

Auto
12:28 pm
Tue May 20, 2014

GM recalls 2.4 million more vehicles

2015 Cadillac Escalade

DETROIT – General Motors is recalling 2.4 million vehicles in the U.S. as part of a broader effort to resolve outstanding safety issues more quickly.

The latest action brings to 13.6 million the number of vehicles GM has recalled this year, a new record for the automaker.  

The recalls announced Tuesday include 1.3 million older-model crossovers with defective front seat belts and 1 million sedans with a shift cable that can wear out. 

GM is also recalling 1,400 new Cadillac Escalade SUVs with faulty air bags. No fatalities related to the defects have been reported, GM says. It expects to take a $400 million charge in the second quarter to repair the vehicles. 

GM agreed to a $35 million federal fine last week for delays in reporting a deadly ignition switch defect.

Politics & Government
8:57 am
Sat April 12, 2014

The week in review

Credit Photo by penywise / morgueFile

This Week in Review, Rina Miller and Jack Lessenberry discuss the latest with the Detroit bankruptcy, the continuing controversies over the General Motors recall, and the money problems involving the charter school system running Muskegon Heights schools.

Week in Review interview for 4/11/14

Transportation
2:03 pm
Fri April 11, 2014

The massive GM recall just got more expensive

GM CEO Mary Barra has led the company's response to the recall crisis.

General Motors Thursday revised up to $1.3 billion dollars its estimate of the cost of recalling millions of cars with faulty ignition switches.

The automaker will now replace the ignition lock cylinder as well as the switch itself on the defective vehicles. The $1.3  billion estimate includes the cost of repairs and of providing loaner vehicles to customers.

GM shares fell to a 10-month low today in the wake of the news. Ratings agency Standard & Poor's said Thursday that it might put off a planned upgrade of GM's debt to investment-grade status until next year.

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Stateside
4:00 pm
Wed April 2, 2014

Reporters weigh in on Mary Barra's Senate hearing interview

General Motors

It was day two on Capitol Hill for General Motors CEO Mary Barra.

Today, it was the Senate's turn to grill Barra about GM's failure to act on ignition-switch failures. The failures have been linked to 13 deaths and prompted a recall of 2.6 million cars.

Here's what Barra said on Capitol Hill:

"When we have answers, we will be fully transparent with you, with our regulators, and with our customers. While I can't turn back the clock, we acted without hesitation. We told the world we had a problem that needed to be fixed. We did so because whatever mistakes were made in the past, we will not shirk our responsibility. Today's GM will do the right thing."

Cynthia Canty spoke with David Shepardson and Michelle Krebs. Shepardson is the Detroit News Capitol reporter, and Krebs is a veteran auto analyst. 

To listen to the full interview, click the link above. 

Opinion
11:27 am
Wed April 2, 2014

Mary Barra might be the right CEO to steer GM through this crisis

General Motors is clearly now in a crisis which could be far worse than bankruptcy was five years ago – one that may threaten the very survival of what once was the world’s biggest corporation.

Gregg Harper, an obscure Republican congressman from Mississippi, spoke for America yesterday, when he and other congressmen were grilling GM’s new CEO.

“We don’t trust your company right now,” he told Mary Barra, who endured more than two hours of hostile questioning from the House Oversight and Investigations subcommittee.

What Harper thinks is what millions of Americans think.

Many of them stopped buying GM products long ago, tired of inferior quality and of being lied to by sales and service personnel.

They are like a man I know who bought a top-of-the line Buick in 1986, only to find the car afflicted with electrical problems the company couldn’t or wouldn’t fix. He traded it for a Honda Accord, and says he would never touch a General Motors car again.

He’s far from alone.

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