Management Turnover as Change Agent

Wednesday, February 27, 2008

Office Depot's CFO To Leave

Michelle Leder of footnoted.org has done it again. By examining a company's SEC filings she has come up with "news". Earlier today Ms. Leder put out a blog on her examination of Office Depot's 10k. Yesterday Office Depot ODP (NYSE) announced the departure of its CFO, Patricia McKay. In the company release the firm stated,

Office Depot is announcing that its Executive Vice President and Chief Financial Officer, Patricia A. McKay, is leaving the Company effective March 1, 2008. Charles E. Brown, the Company's President, International, has agreed to assume the role of acting Chief Financial Officer following McKay's departure. Brown was Office Depot's Executive Vice President and Chief Financial Officer from 2001 to 2005. Office Depot plans to begin its search for a permanent Chief Financial Officer immediately and will announce a successor when this process is completed.

Commenting on McKay's departure, Steve Odland, Office Depot's Chief Executive Officer, said: "Pat has made valuable contributions to the Company since joining the management team in 2005. We thank her for her tireless work and dedication to the Company. We also wish her all the best in her future endeavors."

Ms. Leder started her blog as follows (a far more informative take on the situation than what was contained in the company's press release):
Yesterday, Office Depot ODP Announced disappointing fourth quarter results, and mentioned, almost in passing that CFO Patricia McKay, was leaving at the end of the week. We’re sure this sudden departure had nothing — absolutely nothing — to do with a disclosure in the 10-K that the company filed yesterday:

We are subject to a formal order of investigation from the SEC, in connection with our contacts and communications with financial analysts during 2007, as well as certain other matters, including inventory receipt, timing of vendor payments, certain intercompany loans and the timing of recognition of vendor program funds.

Office Depot demonstrates the importance of management change. Stay tuned.

For more:

Reuters
Financial Week

3 comments:

Tojagal said...

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Ashish Shandilya said...

Thanks for sharing this useful info. Keep updating same way.
Regards, AshishChange Management

Ashish Shandilya said...

Thanks for sharing this useful info. Keep updating same way.
Regards, AshishChange Management