Updated from July 13
Steven Rattner, who had led the Obama administration's auto task force, is headed home.
Rattner "has decided to transition back to private life and his family in New York City," said Treasury Secretary Tim Geithner, in a prepared statement. Rattner will be replaced by Ron Bloom, who had been a senior adviser to the task force.
"With the emergence of both General Motors and Chrysler from bankruptcy, we enter a new phase of the government's unprecedented and temporary involvement in the automotive industry," Geithner said, as "the government transitions its role away from day-to-day restructuring to monitoring this vital industry and protecting the substantial investment the American taxpayers have made in GM, Chrysler, and GMAC."Rattner and Bloom were key advisers to Geithner as the government pushed GM and Chrysler through quick bankruptcies, helping the auto giants shed unsustainable debt levels, large health care obligations and uncompetitive wage levels. GM received about $50 billion in loans and bankruptcy financing while Chrysler got about $15.5 billion in federal aid. Under the new structures, the U.S. government will own about 61 percent of General Motors and 8 percent of Chrysler. The Treasury Department said Rattner had decided to return to private life and his family in New York City. Geithner credited Rattner for his work to strengthen the two companies. "I hope that he takes another opportunity to bring his unique skills to government service in the future," Geithner said. GM chief executive Fritz Henderson said in a statement that Rattner's "expertise was a key contributor toward a new GM emerging in record time."