Stellantis CFO reveals 2 tensions around the CEO's abrupt exit and promises to rebuild trust

Core Insights - Stellantis CEO Carlos Tavares resigned abruptly, with disagreements between him and the board cited as a primary reason for his departure [1][2][3] - The board and Tavares had differing views on operational priorities and stakeholder interactions, leading to a lack of consensus on short-term versus long-term strategies [2][3] - Critics have pointed out that Tavares's cost-cutting measures, particularly affecting the Jeep brand, created a facade of success while harming long-term demand in the US market [4] Company Performance - Stellantis's US sales through September 2023 were down 17% compared to the previous year, with significant volume losses in the Jeep and Ram brands [7] - The Jeep brand has lost market share to competitors like Hyundai in the affordable SUV segment [7] Stakeholder Reactions - The departure of Tavares has been viewed positively by US dealers and union leaders, who see it as a necessary step to rebuild trust [5][6] - An open letter from Stellantis's US dealers over the summer criticized Tavares for "reckless short-term decision-making" that led to predictable negative outcomes in the US market [8] - UAW President Shawn Fain expressed that Tavares's exit is a "major step in the right direction" and emphasized the union's commitment to holding Stellantis accountable amid planned layoffs [9][10]