Sovereign’s board forces Sidhu out as CEO 11 Oct 2006 The Pennsylvania bank chief s wheelerdealing ways have finally caught up with him. His disgruntled shareholders will be happy. Just the rumour that he was on the way out boosted the bank s value by more than $1bn.
York’s departure bad for GM 6 Oct 2006 Kirk Kerkorian s representative has resigned from the car company s board claiming fellow directors were resistant to outside ideas. York s influence waned as GM s performance improved. The dispute over the failed alliance talks with Renault/Nissan was the final straw.
Sovereign’s board wakes up from deep sleep 6 Oct 2006 It s almost a year since the bank s directors acquiesced as chief Jay Sidhu forced a valuedestructive double deal on investors. Now, spurred on by a poorly performing stock price and an activist shareholder on the board, they want to boot him out.
Tronchetti’s control of TI under further threat 4 Oct 2006 Having lost billions for coinvestors and botched a fight with the government, he may not even be able to profit from his erstwhile control. Italy is swirling with rumours of moves that could curb Tronchetti's power at two key links in his chain of control: Pirelli or Olimpia.
Kinder buyout sets a poor example 3 Oct 2006 That's why they should inform the board promptly of MBO plans. Kinder Morgan seems to have been tardy on this score. Executives contemplating a buyout may find themselves torn between maximising shareholder value and snapping up their company on the cheap.
HP emerges intact from Washington 29 Sep 2006 With HP's reputation at stake, its general counsel quit, its former chairman looked weak and several others refused to testify to Congress. But chief executive Mark Hurd performed well under the political krieg lights. Shareholders look safe.
Tronchetti should quit Pirelli 26 Sep 2006 The Italian industrialist has already resigned as Telecom Italia s boss because of a fight with the government. Having lost E4.7bn for Pirelli investors on his disastrous TI adventure, Tronchetti doesn t belong there either.
HP shareholders brace for Hurd on the Hill 26 Sep 2006 The computer group s chief executive faces a political grilling over HP s inappropriate snooping. To avoid turning this governance fiasco into an electionfueled nightmare, Hurd must show genuine contrition.
Hewlett-Packard magnifies its errors 25 Sep 2006 Patricia Dunn s exit is a good thing. Mark Hurd s ascension to the chairman s seat, though, creates undue business risk. Sure, Dunn screwed things up. But there was some sense in her hanging around to clear up the mess. Now Hurd has been sucked in too.
Stock options incentivise the dead 22 Sep 2006 Things only get exciting when we depart this life. There are so many opportunities. You can win medals, or get elected to the US Senate. You can even get married (in France). Cablevision has added to the fun. It s given backdated stock options to a dead man.
Bristol-Myers Squibb fully in play 12 Sep 2006 There was no hope for CEO Peter Dolan to hang on to his job after a Federal regulator overseeing the group called for his departure. But by naming as interim boss James Cornelius who hasn t been averse to selling companies in the past it has put up a for sale sign.
HP fudges boardroom scandal 12 Sep 2006 Chairman Patricia Dunn was responsible for authorising the illegal snooping on other directors and journalists. Given such extraordinary misjudgement, remaining in her post until January when CEO Hurd takes over is pointless.
Heinz’s new board looks solid 8 Sep 2006 Activist Nelson Peltz and one of his pals have won seats on Heinz s board, ending a bitter sixmonth proxy struggle. The newcomers add capital markets and marketing heft, and their presence will keep the pressure on management to deliver.
Are companies gaming new CEO options? 8 Sep 2006 It s certainly confusing. Options for Viacom s new boss were priced after his arrival sliced 7% off the stock price. Ford s CEO got his priced before his appointment juiced the shares up 6%. A uniform practice would be preferable.
New betting arrest throws sector into spin 7 Sep 2006 Sportingbet s chairman a nonexec has been detained in the US. Bang goes the theory that rival BetonSports was a lone target. Whether Sportingbet has done wrong is beside the point. While US authorities have an axe to grind against the industry, all bets are off.
Hewlett-Packard’s chairman should go 7 Sep 2006 Snooping on directors private phone calls has so far produced a director s resignation and two inquiries into whether it broke the law. Having endorsed this questionable witch hunt for press leaks, chairwoman Patricia Dunn should walk the plank.
Agius appointment signals Barclays’ openness to deals 1 Sep 2006 The Lazard banker clearly has a dealmaking role. But that doesn t mean he has come in to negotiate a sale of the UK bank. One of the problems with outgoing chairman Matt Barrett was that he had little rapport with European bank bosses. Agius will solve that.
Why is Tom Cruise like a Wall St prima donna? 23 Aug 2006 The movie star is going solo like some top bankers. With a personal brand, you don't need backing from a Hollywood studio or Wall St house. But Cruise's hand was forced. Viacom, his business partner, is embarrassed by his behaviour. Still, he may end up making just as much money.
Rohatyn move shows age has value in banking 22 Aug 2006 The 78yearold banker, who helped rescue New York from bankruptcy in the 1970s, is joining Lehman as senior adviser. Rohatyn has given up his attempt to build his own boutique and, instead, evolved into the financial equivalent of a village elder.
Foreign investors rescued by Brazilian regulator 21 Aug 2006 Moves to improve corporate governance in the country have been undermined by oldstyle abuses of minority shareholders. A reorganisation at Brazilian telecoms firm TNE disadvantaged foreign investors. Now they ve triumphed with the regulator s help.