11 June 2008
Fosters CEO hears last orders
Iconic brewer accepts resignation after poor results.
Australia-based beverage company, Fosters Group, has announced the resignation of its CEO, Trevor O'Hoy (pictured, right).
In a statement to the Australian Stock Exchange, the company gave a revised profit outlook and said it had accepted Hoy's resignation after 33 years with the company and 4 years in charge.
The company cited disappointing results from its recent AU$7 billion expansion into the global wine trade as the main reason for O'Hoy's departure.
New strategy to be set
Industry analyst Elizabeth Knight says O'Hoy was edged out after a run of bad luck and poor decisions, and an entirely new executive team will likely be created to allow for a reshaping of Fosters' business strategy.
O'Hoy will stay on to facilitate the transition to his as yet unnamed replacement, while Fosters Group conducts a strategic review of its wine business.
Significant dismissals in Australian business
Trevor O'Hoy's resignation represents Australia's second high-profile CEO departure in less than a month, with IAG chief executive Michael Hawker stepping down at the end of May following a dissolved takeover discussion with competitor QBE, and months of speculation about his future.
An entirely new executive team will likely be created to allow for a reshaping of Fosters' business strategy.
Have your say
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