General Motors (GM) CEO Says Industry Not Prepared for Oil Price Surge

According to Chairman and Chief Executive Daniel Akerson of General Motors Co. (NYSE:GM), the U.S. auto industry isn't prepared to respond to the huge upward price swing in gas prices, although they're in a better position than the industry was when prices surged in 2008.

"I don't think the industry learned a lot of lessons from 2008—they will this time around," Akerson said Tuesday on the sidelines of the Geneva motor show. "It would not be a good thing to see $5-a-gallon gas right now."

GM, he said, is "not in perfect shape, but we are in better shape."

U.S. auto sales sank to historic lows after fuel prices spiked in 2008 to close to $4 a gallon, the situation worsened by the collapse of the U.S. housing market and financial system. GM and its Detroit-based rivals were hit harder than foreign car manufacturers because of their dependence on large trucks and SUVs, which fell out of favor.




Full Story