British holiday company Thomas Cook defended its decision to replace chief executive officer Harriet Green on Wednesday.
The abrupt departure of the woman credited with reviving the business yesterday hammered its shares.
Chief operating officer Peter Fankhauser has replaced Green with immediate effect, moving up to the top job after 13 years with the company.
Shares in the world’s oldest travel company fell as much as 23 per cent on news that the highly regarded Ms Green was leaving plus its warning that growth would slow to “a more moderate pace” in 2015, to reflect a tougher trading environment.
Ms Green joined the company in July 2012 and led a recovery that increased its value from £148 million to just under £2 billion.
Chairman Frank Meysman said the plan had always been to bring in a new chief once Ms Green had overhauled the firm."This was a unanimous decision by the board which included Harriet so it is not a matter of being told, it is a matter of jointly deciding when is the right time," he said. - Reuters