Gavin Patterson is out as BT CEO

The CEO of BT is stepping down following weak earnings and shareholder skepticism over his plans to restructure the t...

Posted: Jun 8, 2018 10:48 AM
Updated: Jun 8, 2018 10:48 AM

The CEO of BT is stepping down following weak earnings and shareholder skepticism over his plans to restructure the telecom and media group.

The UK group said in a statement on Friday that Gavin Patterson would leave his job later this year. The company's board has begun a search for his successor.

BT shares spiked following the announcement.

In a statement, BT chairman Jan du Plessis said that while the board was "fully supportive" of the overhaul outlined by Patterson, a change was needed.

"The broader reaction to our recent results announcement has though demonstrated to Gavin and me that there is a need for a change of leadership to deliver this strategy," he said.

Patterson, who has led BT since 2013, announced plans last month to cut 13,000 jobs as part of a restructuring designed to simplify the group's management structure.

He also said the company would quit its 10-story headquarters in central London.

BT has nearly 106,000 employees and operations in 180 countries, according to its most recent annual report.

The plan would save the former UK telecommunications monopoly an estimated -1.5 billion ($2 billion) over three years. It would cost -800 million ($1.1 billion) to implement.

Related: BT will slash 13,000 jobs and quit London HQ

The restructuring, which was announced alongside another round of disappointing earnings, has failed to impress investors. BT shares plummeted after it was announced, and are now trading near a six-year low.

Mike van Dulken, head of research at Accendo Markets, said the board faced questions about BT's direction.

"What's the point in changing the man at the top if he is merely tasked with carrying on with a flawed strategy?" he wrote in a research note. "Patterson is also potentially in place for another six to seven months. Will he continue to lead his troops on the same bumpy trail?"

BT said last month that sales dropped 1% in the year ended March 31, while profits dropped 2%. The company expects to post a modest loss in 2018-2019.

Huntsville/Redstone
Cloudy
40° wxIcon
Hi: 50° Lo: 34°
Feels Like: 35°
Muscle Shoals
Cloudy
41° wxIcon
Hi: 48° Lo: 32°
Feels Like: 34°
Huntsville/Madison
Cloudy
38° wxIcon
Hi: 50° Lo: 35°
Feels Like: 32°
Decatur
Cloudy
40° wxIcon
Hi: 51° Lo: 36°
Feels Like: 33°
Fort Payne
Cloudy
39° wxIcon
Hi: 50° Lo: 36°
Feels Like: 30°
WAAY Radar
WAAY WAAY-TV Cam
WAAY Temperatures

Alabama Coronavirus Cases

Cases: 414583

Reported Deaths: 5945
CountyCasesDeaths
Jefferson60842887
Mobile29590538
Madison26466183
Tuscaloosa20537267
Montgomery18562304
Shelby18181112
Baldwin15841177
Lee1212097
Morgan12002112
Etowah11488142
Calhoun10863197
Marshall10048106
Houston8405123
Cullman792294
Limestone785073
Elmore7670101
DeKalb757282
St. Clair7417120
Lauderdale740282
Talladega6036108
Walker5834176
Jackson571937
Colbert522270
Blount521980
Autauga507555
Coffee431456
Dale388278
Franklin362145
Chilton332965
Covington325567
Russell318910
Escambia309842
Dallas297988
Chambers275769
Clarke272933
Tallapoosa2591107
Pike245829
Lawrence239345
Marion238649
Winston222535
Bibb211347
Geneva196331
Marengo196329
Pickens195331
Hale172542
Barbour169636
Butler166958
Fayette164026
Cherokee158330
Henry149219
Monroe143617
Randolph137635
Washington135426
Clay124446
Crenshaw117444
Lamar116819
Cleburne115123
Macon111935
Lowndes107935
Wilcox99921
Bullock97128
Perry95019
Conecuh92820
Sumter89126
Greene75123
Coosa59814
Choctaw50824
Out of AL00
Unassigned00

Tennessee Coronavirus Cases

Cases: 670482

Reported Deaths: 8232
CountyCasesDeaths
Shelby747611088
Davidson69030648
Knox37822389
Hamilton33776322
Rutherford32471281
Unassigned22060125
Williamson20903138
Sumner17850228
Out of TN1566277
Wilson14171152
Montgomery13874145
Sullivan12293207
Washington11674191
Blount11537120
Maury10746120
Bradley1050091
Sevier10243103
Putnam9730131
Madison8949175
Robertson743385
Hamblen6779106
Anderson6623101
Greene6459108
Tipton605663
Gibson5534109
Coffee551381
Dickson524777
Cumberland523571
Bedford520785
Roane507677
Carter5017108
Lawrence500169
McMinn498572
Warren487553
Loudon481549
Dyer466481
Jefferson460975
Monroe442062
Hawkins433367
Franklin399956
Obion393974
Fayette385551
Rhea371755
Lincoln371044
Cocke336655
Weakley336048
Marshall333136
Cheatham328528
Henderson328253
Giles315071
Campbell314639
Hardeman304351
White304342
Carroll300159
Hardin293546
Lauderdale288731
Macon282850
Wayne258219
Henry253957
Overton246942
DeKalb237340
Haywood234644
McNairy231642
Smith228427
Trousdale227814
Marion220031
Scott219731
Hickman218134
Fentress208430
Grainger202134
Claiborne198721
Johnson194830
Morgan183613
Crockett178938
Bledsoe171110
Chester169836
Unicoi162843
Cannon153419
Lake153019
Decatur145124
Grundy137420
Polk137317
Union136121
Sequatchie132518
Humphreys129817
Benton129634
Lewis126020
Meigs110716
Stewart103020
Jackson102520
Perry93224
Houston92522
Clay90626
Moore7858
Pickett66119
Van Buren6397
Hancock3936

Community Events