Loscher joins in his ejection from siemens

Loscher joins in his ejection from siemens

"My sole concern is the well-being of siemens and the 370,000 siemens employees who are justifiably proud of their company," loscher told the "bild" newspaper (tuesday). A siemens spokesman explained that it was not true that loscher only wanted to vacate his position on the executive board if cromme also left the control committee at the same time.

Loscher thus clears the way for his successor. After lengthy deliberations, the supervisory board of the DAX-listed company agreed over the weekend to replace the austrian prematurely and issued a succinct statement announcing its intention to vote him out of office on wednesday. Well-informed circles reported that chief financial officer joe kaeser is to take over from loscher. However, the group is still silent on this personnel matter.

The shock waves of the leadership drama also reached berlin. Chancellor angela merkel (CDU) wishes for an end to the turbulences. From the chancellor’s point of view, siemens is a flagship of the german economy, deputy government spokesman georg streiter said on monday. "That’s why it’s important to her that this global company gets back into calm waters again."

Loscher was considered an important advisor to merkel in the past years. She has always held the manager, his work and his expertise in high esteem: "she also remembers in particular his rough commitment as chairman of the asia-pacific committee of the german economy," said the spokesman. Apart from the drama surrounding the dismissal, the company’s share price recovered a little on monday from the shock of the profit warning that heralded the premature end of loscher’s career at siemens last thursday.

Although kaeser has not yet been officially chosen as CFO, the stock markets have already given advance praise to the presumptive new boss. For commerzbank analyst ingo-martin schachel, kaeser is the "logical successor. Other industry experts also expressed satisfaction with the presumed choice of the new siemens CEO.

The stock exchange is not expecting any miracles from kaeser, however, as the group’s construction sites remain intact. Kaeser has the strong support of the financial markets, writes JP morgan. He will nevertheless have a hard time meeting the market’s high expectations – because kaeser, too, continues to struggle with the problems that led to the profit warning. The price of siemens shares had temporarily slumped to below 78 euros after the profit warning on thursday. On monday, the stock was trading at just under 80 euros at midday.

Loscher had become increasingly unpopular after numerous failures at germany’s largest electronics company. The high point of the series of mishaps was the second profit warning in less than three months. The majority on the supervisory board for voting loscher out of office is considered certain. The control committee, comprising ten shareholder representatives and ten employee representatives, will decide on the move – and appoint a successor – on wednesday, the day before the quarterly figures are announced.

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