Several Corporate Shakeups

There were several high-profile management changes announced today. We’ve got you covered with a summary below. 📝

First up, the founder and CEO of dating app Bumble, Whitney Wolfe Herd, is planning to step down early next year as she transitions to a new role as executive chair. She’ll be replaced by Lidiane Jones, the current CEO of Salesforce’s cloud-based messaging platform Slack. The announcement came ahead of Bumble’s earnings results, which will be released Tuesday after the bell. Like other pandemic-era companies that came public during the bull market, Bumble’s share price has struggled since day one and is currently sitting at all-time lows. 📉

Next, as Overtstock.com completes its transition to Beyond, Inc., it’s doing so under the direction of a new CEO. Pressure from activist hedge fund JAT Capital finally drew enough support to oust Jonathan Johnson, who has been with the company for over twenty years and led the acquisition of Bed Bath & Beyond out of bankruptcy. Beyond’s president, David Nielsen, will be interim CEO while the board searches for a permanent candidate. Meanwhile, JAT Capital has recommended Camping World CEO and TV personality Marcus Lemonis as their preferred choice. 🛒

Disney has itself a new CFO, tapping PepsiCo’s longtime CFO, Hugh Johnston, as its next financial leader. Christine McCarthy stepped down earlier in the year, and the company has been searching for a replacement since. He’s leaving PepsiCo after a 34-year tenure and will join Disney as it undergoes a massive restructuring effort to turn around its lagging stock price. The company is set to report earnings on Wednesday after the bell, likely providing more color on the transition then. 🐭

The Washington Post announced that Will Lewis will become publisher and CEO on January 2, 2024. The former journalist turned media executive has served as the CEO of Wall Street Journal parent Dow Jones and will now be tasked with returning the historic newspaper company to profitability. With The Post on track to lose $100 million this year and resorting to cost-cutting to stay afloat, he must balance employee morale, further expense reductions, and growth investments. 📰

Lastly, Citigroup is not getting a new CEO. However, current CEO Jane Fraser said her reorganization efforts could result in job cuts of at least 10% in several of its major businesses. Executives could see cuts beyond 10%, particularly as Fraser looks to eliminate regional managers, co-heads, and others with overlapping job responsibilities. The internal project dubbed “Project Bora Bora” has stakeholders on edge as they wait to asses whether the global bank can turn its stock around. 🏦

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