Amid Losses, Bombardier CEO Leaves
Bombardier CEO Paul Tellier resigned on Monday, as the company struggles to cope with lagging sales, job cuts, three recent jet crashes, and a falling stock price -- which hit a new low on the latest news. Tellier had been with the company less than two years and had another year to go on his contract. Apparently he had let it be known that he planned to leave when the contract was up, and the company decided not to wait. In a press release, he said, "I understand the board's concern that I would not be there for the long term to develop and execute strategies, and the need to reshape the management structure at this time." Business analysts said sharp differences on strategy with board chairman Laurent Beaudoin prompted the departure. Beaudoin will act as interim CEO.
"I leave with the satisfaction of having done what needed to be done as a first step before the corporation could focus on developing new avenues of value creation," Tellier said in the press release. "I would like to thank the dedicated employees for their friendship and unfailing support." He did not talk to the press. "The corporation hired Mr. Tellier as an agent of change and he has delivered," said Beaudoin. "Considering the evolution of the business and our challenges at this point, the corporation has come to an agreement with Mr. Tellier and I am pleased that we are parting ways on good terms. We thank him for his contribution to the evolution of our corporation." Bombardier, based in Montreal, builds business jets, regional jets and turboprops.