Friday September 24, 10:44 am Eastern Time
Mercedes CEO Moves to AutoNation
MIAMI (AP) -- The president and chief executive of luxury car maker Mercedes-Benz USA Inc. has been named as chief executive of the nation's biggest auto retailer, AutoNation Inc. (NYSE:AN - news)
Michael J. Jackson was named today to replace Steven Berrard, who left earlier this year after serving as right-hand man to AutoNation chairman H. Wayne Huizenga. Five other executives have also left this year at AutoNation.
``Mike Jackson is a car guy's car guy,' Huizenga said in a statement on Jackson's appointment. ``He understands what it takes to be a successful automotive retailer because he's done it himself.'
Jackson, 50, who began his automotive career 28 years ago as a Mercedes-Benz technician and led the car company to record U.S. sales, will be responsible for the development of AutoNation's business strategy.
``I believe in the AutoNation business model,' said Jackson, who was in discussions with Huizenga for two months. ``I have admired from a distance how much AutoNation has achieved in such a relatively short period of time.'
AutoNation has 412 franchises, 42 used car outlets and 270 retail Web sites, but is in the midst of transition in its core business.
The company announced plans last month to sell its lackluster rental-car business, including the Alamo and National chains.
AutoNation spent about $1.8 billion over the past two years to acquire five rental car companies. But analysts say the businesses suffered from too many cars, reservation system problems and in-house discounting.
Others who have left AutoNation recently include president John Costello, who came from Sears, Roebuck less than a year before; rental car division chief Bill Lobeck; brand development chief Bob Thomas; senior vice president for human resources Bob Dees and vice president of investor relations Sheila Steuwe.
AutoNation's stock lost nearly a third of its value this summer and is off nearly three-quarters from a peak in January 1997.
Earlier in his career, Jackson was managing partner of Euro Motorcars of Bethesda, Md., a regional auto dealership with 11 franchises when he left. |
