WINDSOR, 31-Jul-2018 — /EuropaWire/ — After over four years in post, and in line with long-standing succession plans agreed with the Board, Jeff Bell will be standing down as Group CFO at the end of October this year and will leave the Company in July 2019. During the period from November 2018 to July 2019 Jeff will continue to be employed by the Company, taking on a financial advisory role within the business and continuing as a Director of Spirit Energy and Chairman of its Audit Committee.
In 2015 Centrica conducted its strategic review and announced its new strategy in July of that year. With that first phase now complete, the balance sheet strengthened, the initial disposal programme completed and the material cost efficiency programme delivered three years early, the Centrica Board has agreed that Jeff will stand down from the Board and hand over to a successor for the next phase of Centrica’s development.
Centrica is pleased to announce the appointment of Chris O’Shea as Group CFO and Executive Director of Centrica plc effective 1st November.
Chris is an experienced plc CFO and knows the energy industry well. From 2015 Chris was Group CFO of Smiths Group plc. Prior to Smiths, Chris was Group CFO of Vesuvius plc. Previously Chris held various senior finance roles with BG Group plc and with Royal Dutch Shell plc in the UK, the US, and Africa. At BG Group Chris was CFO of Europe and Central Asia.
Iain Conn, Chief Executive Officer of Centrica said: “I would like to thank Jeff for his significant contribution and the dedication he has given to the Group. With his considerable knowledge of Centrica, Jeff has been an invaluable partner to me as we took on the challenge of re-shaping the Company and its performance against a very challenging external backdrop and strong competition.
Jeff has worked tirelessly with me and the executive team to deliver the first phase of implementation of our strategy and to improve Centrica’s performance. With that first phase now complete, it is a good time for Jeff to stand down from the Board and hand over to a successor.”
“I am delighted that Chris is joining Centrica as Group CFO. Chris is very experienced in operating internationally within large businesses and has overseen a number of business and organisational transformations during his career. He understands the complexities of energy markets and commodity risk and the application of engineering and technology in providing solutions to business customers.
Chris is ideally suited to take Centrica through the next phase of its transformation.”
Jeff Bell, outgoing Group CFO said:
“After 4 years as Group CFO, I’m more confident than ever the Centrica strategic direction is the right one and it has been a privilege to have played a role in the first phase of its delivery. I look forward to continuing in a financial advisory role and as Director of Spirit Energy, while also allowing me the opportunity to address family issues back in Canada. I look forward to working with Chris to ensure an orderly transition”.
Chris O’Shea incoming Group CFO said:
“I am really excited to be joining Centrica and look forward to working with Iain, the Board and the Executive team to lead the Group through the next phase of its transformation. I am honoured to be joining a Group with both a long history of supplying customers and some really exciting technology to meet the future needs of our customers in the UK and overseas. I have watched the developments in the energy sector closely over the past few years and look forward to delivering the opportunities and addressing the challenges which lay ahead.”
There is no other information required to be disclosed under Listing Rule 9.6.13R.
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Chris is an experienced plc CFO and knows the energy industry well. From 2015 Chris was Group CFO of Smiths Group plc, a £6.4bn market cap global FTSE100 engineering and technology company with 22,000 employees; prior to that Chris held the same position with Vesuvius plc, a £1.8bn market cap global FTSE250 engineering and technology company with 11,000 employees. Previously Chris held various senior finance roles with BG Group plc from 2006 to 2012 and with Royal Dutch Shell plc from 1998 to 2005. At BG plc Chris was CFO of Europe and Central Asia, the largest business division.
Chris studied Accounting and Finance at Glasgow University, is a Chartered Accountant, and holds an MBA from the Fuqua School of Management at Duke University. He is also currently the Chairman of the Tax Committee of the 100 Group of UK Finance Directors.
Chris’ remuneration package will consist of a basic salary, benefits and variable incentive arrangements which are in line with Centrica’s remuneration policy.
There are no special arrangements in respect of his recruitment.
The key elements of Chris’ remuneration package are as follows:
Base salary of £620,000;
Pension contribution of 20% of base salary.
Incentives and other benefits will be in accordance with the Remuneration Policy set out in the Group’s 2017 Annual Report and Accounts and approved by shareholders at the 2018 AGM.
The following information is provided in accordance with section 430(2B) of the Companies Act 2006.
Jeff will not receive any payment made in lieu of notice. His other remuneration arrangements will follow the Remuneration Policy set out in the Group’s 2017 Annual Report and Accounts and approved by shareholders at the 2018 AGM.
Accordingly, Jeff will be eligible for an award under the 2018 Annual Incentive Plan (AIP) and the 2019 AIP on a pro-rata basis, with any award remaining subject to a 50% deferral. In line with the plan rules, any AIP deferred shares unvested at the point of leaving will vest on the usual vesting dates, with relevant malus and clawback provisions continuing to apply.
All Long Term Incentive Plan (LTIP) awards which are unvested at the point that Jeff leaves the company will lapse in full. Jeff will not participate in the 2019 LTIP.
SOURCE: Centrica plc