DirecTV is AT&T boss’s ball and chain 17 Oct 2019 Randall Stephenson paid $67 bln in 2015 for the satellite TV firm, aiming to redefine video. The strategy hasn't panned out and now DirecTV’s worth has probably cratered. Even if the CEO could stomach the hit to his reputation, ditching the asset will be a challenge.
Hong Kong seeks new traffic cop for wonky market 15 Oct 2019 Ashley Alder made the best of a middling job as chief securities regulator. He made progress fighting shoddy IPOs, though failed to stop dual-voting share structures. His successor could tackle the SFC’s slow enforcement, but will still be stuck between powerful vested interests.
Boeing governance fig leaf is too little, too late 14 Oct 2019 The $211 bln airplane maker stripped CEO Dennis Muilenburg of his role as chairman. Ensuring he is focused on the 737 MAX mess is an overdue step, but insufficient. Wells Fargo offers one example of how efforts to fix a culture take time, and eventually an outsider’s perspective.
Renault Bollorexit makes Fiat deal slightly easier 11 Oct 2019 Thierry Bolloré’s departure as CEO of the French car company further distances it from the Carlos Ghosn era. That should benefit a reset with Nissan’s new leadership, which is needed to appease the French state. It also simplifies the management choices for a Fiat-Renault combo.
McDermott leaves SAP with legacy in the balance 11 Oct 2019 The $140 bln software group’s revenue doubled under the American, who is stepping down as CEO. During his tenure shareholder returns beat traditional rival Oracle but recently trailed racier peers like Salesforce. The risk is that the company’s new co-CEOs continue the trend.
Mediobanca’s new activist has oddly retro ideas 10 Oct 2019 Luxottica eyeglass emperor Leonardo Del Vecchio wants the $9 bln Italian lender to beef up its investment bank, defying the finance lessons learned since 2008. CEO Alberto Nagel’s push into wealth management is serving shareholders well. Del Vecchio is pushing a losing bet.
Mario Draghi’s detractors prepare for next fight 10 Oct 2019 The outgoing ECB boss ignored technocrats’ advice not to resume bond buying, the FT says. The leaked guidance reflects increasingly vocal dissent. The central bank won’t reverse its looser policy any time soon. But incoming chief Christine Lagarde faces clear battle lines.
Deutsche Bank’s new director isn’t worth the fuss 9 Oct 2019 It’s hard to find experienced board members with no conflicts of interest. But the German lender’s latest appointee Juerg Zeltner runs and owns a stake in wealth management rival KBL. That’s unusual even for incestuous European banks. Chairman Paul Achleitner should think again.
Where are Boeing’s boardroom engineers? 8 Oct 2019 The aircraft maker is still playing defense as it tries to fix problems with its 737 MAX after two fatal crashes. CEO Dennis Muilenburg is the face of Boeing’s mistakes, but the real flaws lie with the board. It’s dominated by financial expertise rather than engineering nous.
New Nissan CEO will make Renault’s life easier 8 Oct 2019 Makoto Uchida’s first job is to cut costs and get the $24 bln carmaker growing again. Resolving tensions with partner and 43% shareholder Renault is next on the to-do list. A history of working on alliance projects suggests he’ll favour closer cooperation than rivals for the job.
Vision Fund will struggle to shrug off WeWork flop 7 Oct 2019 One bad bet shouldn’t jeopardise SoftBank’s $100 bln vehicle. Yet the office sublessor’s failed float undermines the thesis that copious capital brings success and raises doubts about other punchy valuations. Future IPOs which the fund needs to repay investors look a lot harder.
Stand-in HSBC boss passes first interview question 7 Oct 2019 Noel Quinn may cut 10,000 jobs at the UK bank. A decisive move on costs would mark him out from predecessor John Flint and marginally boost pathetic returns in Europe. A bigger test of his suitability for the full-time job is whether he can sort HSBC’s struggling U.S. business.
Review: Bob Iger’s magic touch 4 Oct 2019 The Disney CEO is the nicest guy in Hollywood, with killer instincts. “The Ride of a Lifetime” explains how he persuaded industry bigwigs including Steve Jobs to hand over the keys to their kingdoms. The $230 bln firm’s next challenge is to flourish without its chief architect.
Swiss bank spy fiasco puts UBS succession in frame 4 Oct 2019 While Credit Suisse embarrassed itself with its recent surveillance of Iqbal Khan, the fiasco raised questions about who will succeed Sergio Ermotti atop arch-rival UBS. Strong internal contenders have departed, and Khan just arrived. Ermotti may need to postpone his retirement.
BP’s new boss has a tougher gig than forerunner 4 Oct 2019 Bernard Looney will replace Bob Dudley as the oil major’s chief executive. While the latter restored BP’s image and balance sheet after the Gulf of Mexico spill, the exploration veteran will manage the transition to a low-carbon world under a very bright spotlight.
Imperial Brands hunts for new boss at a bad time 3 Oct 2019 CEO Alison Cooper is on the way out. The 17 bln pound company is shifting its focus to vapes rather than tobacco while facing regulatory scrutiny about how deadly the former are. Selling bits of the business in tricky markets is another challenge. The job will be a hard sell.
Tesla sales are running on discharging battery 3 Oct 2019 Elon Musk’s $44 bln automaker delivered barely more cars last quarter than in the previous period. The average sale price of its mass-market Model 3 is falling. It suggests little revenue growth, another loss, more investment delays and, eventually, the need for yet more capital.
Suez turnaround is stuck on an amber light 2 Oct 2019 Empire-building has weighed on the French utility’s returns. A new focus on the bottom line is thus a win for activist Amber Capital. Still, a share price dip on Wednesday suggests investors aren’t ready to take CEO Bertrand Camus’s promises of better top line growth on trust.
Tesco CEO will bequeath a few trenchant problems 2 Oct 2019 Dave Lewis will exit in 2020 and leave the UK grocer in better shape than he found it. Yet his successor, Ken Murphy, has to contend with declining market share and a threat of recession. The former Walgreens Boots Alliance executive’s lack of UK food experience is a handicap.
Gilbert exits Standard Life Aberdeen with whimper 2 Oct 2019 The former co-CEO of the $8 bln asset manager will step down as vice chairman next year. His departure removes management clutter. But with shares off over a third since 2017, the best argument for the merger he led is that without it, things would have been even worse.