Wachovia splits two top jobs; separates CEO and President roles

Source: Exec

Date :09/05/2008 04:41:41

Wachovia Corp said on Thursday chief executive Ken Thompson had given up the chairman's title to focus on day-to-day operations at the fourth-largest U.S. bank.

Mr. Thompson will remain on the board of directors, and be responsible for management of the Charlotte, North Carolina bank. He will also retain the title of president, a spokeswoman said.

He has been chief executive since April 2000, and had been chairman since February 2003.

Enhanced value

In a statement, Mr. Thompson said the change frees him "to focus 100 percent of my time and attention on guiding the company through the current environment and building and delivering enhanced value." Wachovia said the change also enhances corporate governance.

Lanty Smith, a director since 1987 and lead independent director since 2000, was named non-executive chairman.

Mounting losses

The move came two days after Wachovia doubled the size of its loss to $708 million after adding $315 million in write-downs.

Last month the bank – battered mounting losses from mortgage and other debt reported a $393 million first-quarter loss. It also announced plans last month to raise $8.05 billion of capital.

May 09, 2008