TATA MOTORS CEO RESIGNS

Carl Peter Forster

The CEO of TATA MOTORS LTD, Carl Peter Forster (57) has resigned after serving the company for less than two years. He joined the company in 2010 coming from GENERAL MOTORS CO. where he was the head of European operations.

“I deeply regret that my personal circumstances make it difficult for me to continue to perform the challenging duties of managing the thriving global activities of the Tata Motors group with its main activities in India and the UK and increasingly in additional overseas markets,” Forster said in the release. “I am glad to continue my association with Tata Motors.”

 Forster’s resignation is a “setback” as the company struggles to boost sales at home in India. “He was one of the strong pillars for JLR,” said Pramod Amthe, an analyst with Royal Bank of Scotland Group Plc in Mumbai. “His exit as the head of the business is definitely negative. Investors may not get the same level of comfort they used to get from talking to Carl.”

“The board respects Carl-Peter’s personal circumstances that led to this move,” Chairman Ratan Tata said in an e-mailed statement today. “We would like to thank him for his contributions to the successful development of our company. Forster will continue to be associated with the company as a non-executive member of the board.”