And he’s off (Northern Rock Chief Exec goes…)
Posted by markharrison on December 13, 2007
Adam Applegarth, Chief Exec of Northern Rock, has left today.
The new Chief Exec is Andy Kuipers, who had left a few months ago, but has just been reappointed as a Director!
Virgin seems to be the only game in town left for rescuing the crippled bank, since talks with Olivant (the other bidder) seem to have fallen through.
The new chairman, Bryan Sanderson (who took over in October following the resignation of Matt Ridley), has made the normal positive noises about how Andy Kuipers is the right person for the job.
Northern Rock are being coy about the payoff, and have said the departing Mr Applegarth will be paid “substantially less than the amount which he would otherwise be due.” I suspect that the staff and shareholders who have been rioting in the streets had he been allowed to run the bank into the group and leave with a massive cash bonus (and rightly so – personally, I support big bonuses for people who do well, particularly Entrepreneurs :-), but have a REAL problem with people who expect big bonuses or payoffs for letting companies fail.)
You’ve got to wonder how long either Mr Sanderson or Mr Kuipers will last when the new owners come in? That, I suspect, is a question that only Mr. Branson can answer!