2nd UPDATE GM Realigns Sales Marketing Management

General Motors Corp. (GM) on Wednesday said it will reorganize its marketing and sales leadership along the four retail channels that manage its eight brands in North America, as the auto maker looks to better direct those efforts and consolidate dealerships.

Among the moves is the hiring of Mark McNabb, the former head of U.S. sales and marketing for Nissan Motor Co. Ltd. (NSANY), to be North America vice president of the Premium Channel, which manages the Cadillac, Hummer and Saab brands. McNabb, 47, left Nissan last month.

GM has been moving its eight nameplates into four channels to streamline its product portfolio while maintaining good sales for its dealers.

Mark LaNeve, GM's North American sales chief, said he aligned the sales field staff along the four channels two years ago, but the auto maker still had regional managers.

The realignment eliminates the regional sales managers and gives the channel executives responsibility for sales, marketing and advertising. They'll also have a role in product development.

"Think about them (the channels) like a business," LaNeve said during a conference call with reporters.

Ed Peper, 46, who was Chevrolet general manager, is now vice president of the Chevrolet Channel. Susan Docherty, 45, who was general manager of the western region, is North American vice president of the Buick-Pontiac-GMC Channel.

Jim Bunnell, 52, is appointed executive director of the Channel Support Group. Jill Lajdziak, 51, will continue to lead Saturn as general manager, but assume sales responsibility for that channel.

The auto maker also said that Bill Powell, 61, will continue his role as North America vice president of industry and dealer affairs and Doug Herberger, 56, will continue as North America vice president of Service Parts Operations.

The auto maker has been criticized by some for having too many brands, but GM has said the eight-brand strategy works because they're managed in four channels.

For example, GM over the past few years has moved most of its Pontiac-Buick and GMC dealerships under one roof. It will now focus that effort on its Premium Channel.

GM has been dealing with declining U.S. sales thanks to a slowing economy, high fuel prices and a shift away from pickup trucks and SUVs. It also has continued to lose money in its core North American market.

GM shares closed up 4.1% to $19.90 Wednesday, in line with gains on the broader U.S. equities market.

-By Terry Kosdrosky, Dow Jones Newswires; (248) 204-5532; terry.kosdrosky@ dowjones.com

(END) Dow Jones Newswires
04-16-08 1700ET
Copyright (c) 2008 Dow Jones & Company, Inc.

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2nd UPDATE GM Realigns Sales Marketing Management