Business
Strategy & Management Changes
Strategy & Management Changes.
About this update from Ferrexpo Plc
[{"type":"text","content":"\n RNS Number : 9118G Ferrexpo PLC 29 October 2008 \n \n\n29 October 2008\n\n\nStrategy and Management Changes\n\nFerrexpo plc ('Ferrexpo' or the 'Group') announces that the Board of Directors has revised the Group's expansion strategy in light of the recent changes in market circumstances.\n\nThe Board has concluded that along with the rest of the industry, the Group is likely to face a more challenging market environment in the coming months. As a result, the Board has resolved to hold all strategic initiatives in abeyance in the medium term and refocus the Group's activities on ensuring the continuing strength of its existing operations in Ukraine. Whilst good progress has been made with a number of potential partners in the Strategic Investor programme, the Board has decided that no further decisions will be made until stability returns to global commodity markets. These decisions have been made to enable the Group to avoid incurring significant capital expenditure at a time of market uncertainty and to ensure the continued ability of the Group to maximise value for its shareholders.\n\nAs a result of this change in the strategic direction of the Group, Mike Oppenheimer, the Chief Executive Officer, and Dennis McShane, the Executive Director - Business Development, have informed the Board that they believe their roles to have changed from the form envisaged previously, and have tendered their resignations. The Board has accepted their resignations, and both will step down from the Board with immediate effect, and leave the Group following an orderly handover period.\n\nThe Board has appointed Kostyantin Zhevago, a connected person of Fevamotinico S.a.r.l., the Group's majority shareholder, as Chief Executive Officer of the Group. As CEO of the Group, Mr. Zhevago will focus on managing the business through the current potentially significant deterioration in the world economic situation as well as on strict cash conservation. Mr. Zhevago will be advised by the existing Financial Risk Management Committee ('FRMC'), w...