WPP has announced in an official communication to the press that Sir Martin Sorrell has stepped down as Chief Executive Officer of WPP with immediate effect.
Roberto Quarta, Chairman of WPP, becomes Executive Chairman until the appointment of a new Chief Executive Officer. Sir Martin will be available to assist with the transition.
Quarta holds the position as non executive Director and Chairman Designate as well as seat at the board of WPP since 2015. He succeeded Philip Lader at the non executive Chairman responsibility efectively in 2015.
Mark Read, Chief Executive Officer of Wunderman and WPP Digital, and Andrew Scott, WPP Corporate Development Director and Chief Operating Officer, Europe, have been appointed as joint Chief Operating Officers of WPP.
“Obviously I am sad to leave WPP after 33 years. It has been a passion, focus and source of energy for so long. However, I believe it is in the best interests of the business if I step down now. I leave the Company in very good hands, as the Board knows. Mark and Andrew and the management team at all levels have the knowledge and abilities to take WPP to even greater heights and capitalise on the geographic and functional opportunities. I will particularly miss the daily interactions with everyone across the world and want to thank them and their families for all they have done, and will do, for WPP.”
In accordance with his at-will employment agreement, Sir Martin will be treated as having retired on leaving WPP, as detailed in the Directors’ Compensation Policy. His share awards will be pro-rated in line with the plan rules and will vest over the next five years, to the extent Group performance targets are achieved.
The official communication points that the investigation announced into an allegation of misconduct against Sir Martin announced on 3rd April has concluded and that the allegation did not involve amounts that are material.
Quarta’s initial industrial management career was with BTR plc, where he rose to serve on the board. In 1993 he moved to become chief executive of BBA Group, where he executed strong performance improvement and portfolio change, producing a major increase in shareholder value. He later became chair of BBA (which was renamed BBA Aviation following the demerger of Fiberweb in November 2006), stepping down in 2007.
He is a partner of Clayton, Dubilier & Rice, a private equity group. He is also on the board of two CD&R businesses, Rexel SA and Italtel.
Born on May 10th, 1949 in Italy, emigrated to the United States at the age of 15, and he spent the rest of his adolescence in Brooklyn, New York City, where his father was a tailor.
Image over the headline.- Sir Martin Sorrell at the World Economic Forum (Davos). Photo by World Economic Forum [CC BY-SA 2.0 (https://creativecommons.org/licenses/by-sa/2.0)], via Wikimedia Commons. Photo by Sebastian Derungs. To watch the original photo click here
