Steven Rattner, the man behind the restructuring of the US auto industry, talks numbers with Talking Numbers about the what’s right – and wrong – with America’s car companies today. He also discusses the fast rise of Tesla.
When he was the US Treasury Department’s “Car Czar”, Steven Rattner was the man behind the Obama Administration’s restructure of the American auto industry. He is currently Chairman of Willett Advisors LLC and a CNBC contributor. He talks numbers with Talking Numbers about the what’s right – and wrong – in America’s car companies today.
Talking Numbers host Brian Sullivan asks Rattner about a passage in the book, “Detroit: An American Autopsy” by Charlie LeDuff, where Rattner is shocked at how poorly car company finances were managed in 2009. Rattner says the auto industry has changed since the restructuring.
“There’s no question that it’s better run [now] than it was then,” says Rattner to Talking Numbers. “And, it’s also not a coincidence that the CEOs of each of the so-called ‘Detroit Three’ (Ford, General Motors, and Chrysler)– it used to be called ‘The Big Three’ – came from outside of Detroit and, in two cases, outside of the auto industry. [Ford CEO Alan] Mulally and [GM CEO Daniel] Akerson are not auto guys, and [Chrysler CEO] Sergio Marchionne had come from Fiat and was really more of an industrial guy earlier in his career. And, that’s what made a difference.“
But are they run well enough?
In the interview, Rattner assesses each of the Detroit Three as well as what he thinks about new American auto upstart, Tesla. We then ask JC O'Hara, Chief Market Technician at FBN Securities, to look at the charts and forecast what’s next for Tesla’s stock.
To hear Rattner’s interview and watch O’Hara’s analysis of Tesla’s stock chart, watch the video above.