New GM Still Tightening Belt

New General Motors is open for business, but the company's bankruptcy went so fast its management cuts haven't caught up.

"Today marks the beginning of a new company," one with fewer cars and fewer management layers, CEO Fritz Henderson told reporters on a conference call Friday morning, shortly after the automaker emerged from a lightning fast 40-day-bankruptcy. "This is all about flattening the organization," he said. "Business as usual is over at General Motors."

Henderson said GM will eliminate jobs as high-ranking as the presidency of GM North America, which he will add to his responsibilities, and the elimination of regional presidents and strategy boards. He was vague about the future role of some current executives, noting that some details are lacking because even GM was taken by surprise by the rapidity of the court process. "We planned for a bankruptcy of 60 to 90 days," he said. "We wanted to have it ready to go by July 31." ...