The Gazette-Enterprise

General Motors Chairman Ed Whitacre has high hopes for the future of the American auto industry.

In his first speech in Texas since taking his place at General Motors Company, Whitacre addressed a crowd at Texas Lutheran University about the future of GM, the outlook of the American auto industry, and the United States economy.

The former CEO of AT&T and TLU business professor said he was happy to take the job at GM.

“I told everybody when I started this that I didn’t know anything about cars,” Whitacre joked. “I know a little now about cars and I know a little about business. This is shaping up to be one of the most challenging and gratifying experiences ever.”

Whitacre said his love for America is one of the reasons he decided to take the job.

“I believe deeply that America needs a strong and vibrant auto industry,” Whitacre said. “I believe that this iconic company needs to lead the auto industry, and I want to do my part to make that a reality.”

General Motors Company employs thousands of people in the United States, and is one of the leaders in the global auto industry. Whitacre said he knows the impact of the industry as a whole, and the company, on the American economy.

“There’s just too much at stake for this country,” Whitacre said. “The auto industry is critical. Very critical to our economy. It provides support for more than 4.7 million jobs.”

While GM is working hard toward repairing the company, Whitacre says they are not out of the woods yet.

“At GM, our work is cut out for us,” Whitacre said. “I think we’re all aware of the near catastrophic situation facing the car market. Just to put it simply, people quit buying cars. They lost their jobs, and credit dried up. You can’t buy a car without money or credit — it’s that simple.”

Whitacre said the immediate goal for GM is to sell more cars that the American consumer would appreciate. After the foreign car market gained popularity in the United States, GM fell to the wayside and consumer interest quickly shifted to manufacturers like Toyota.

“Most importantly to us we have to win the trust of the consumer back,” Whitacre said. “And consumers are putting GM back on the consideration list. When ‘Consumer Digest’ announced the 2010 Best Buy Award, of the 47 vehicles to make it, among all the auto makers, 15 of them were GM vehicles, and seven of them were Chevrolet.”

GM has also recognized the importance of more fuel efficient and eco-friendly vehicles. Whitacre said that consumers have expressed a great desire for fuel efficient vehicles, and GM has responded with the Chevrolet Volt, which will hit the market next year for about $40,000.

“You can see our responsiveness to customer demand and our commitment to green technology,” Whitacre said. “From vehicles that are gas-friendly to those that are gas-free, GM is a leader in developing clean, green, fuel-efficient vehicles. We offer models that get 30 miles to the gallon and higher on the highway. That’s more than any competitor — foreign or domestic.”

The most pressing goal for GM is to repay the money from the government bailout that happened earlier in the year. After the government stepped in, the company was forced to re-organize. Brands like Pontiac and Hummer were dropped, and the number of GM executive-level employees was reduced by one-third.

Whitacre said the company is working hard to move in a positive direction, and he doesn’t expect it will need another bailout.

“We want to pay the government back,” Whitacre said. “There is a sense of urgency at GM to pay the money back as soon as possible. That’s very high on our priority list. We know the best way to do that, and the only way to do that, is to give customers the cars and trucks they want, at the quality they expect, and at the price they demand.”

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