GM's Whitacre says, "We Want Government Out"

With a long-discussed initial public offering looming, General Motors Chairman and CEO Ed Whitacre reiterated several times in an appearance at an industry conference  today that GM is aching to shed the derisive "Government Motors" moniker, while at the same time saying the company is thriving.

"We don't like this label of 'Government Motors," Whitacre groused as a wrap-up to the Center for Automotive Research's Management Briefing Seminars in Traverse City, Michigan, yesterday.

"It turns off customers," Whitacre said. "It turns us off. People at GM are embarrassed by that."

Of the IPO, which some reports suggested GM could have filed by now but hasn't, Whitacre said, "We're moving as fast as we can. It's No. 1 on our list."

He also said he expects that at the outset, the IPO will be large enough to allow the government to sell enough of its 60.1 percent equity in GM that it would not be the majority owner in the newly public GM. Part of the reason is that Whitacre is confident the IPO will attract plenty of investors.

"I think the appetite is going to be really good for GM stock," he said at the conference.

Part of the reason for Whitacre's confidence about investor interest in the IPO — which has the potential to be the nation's largest ever — is that GM apparently had another strong financial performance in the second quarter to follow up on an $865-million profit in the first quarter this year. Although he offered no details, Whitacre teased that GM's second quarter was solid.

"If you liked the first quarter financial results, stay tuned for the second quarter (reporting) next week," he said. "I think you're gonna like it more."