A Stellantis NV logo in the reception area of the automaker's technical center in Velizy-Villacoublay near Paris, France, on Monday, Jan. 18, 2021. (Photo: Cyril Marcilhacy/Bloomberg) Chief financial officer Natalie Knight will leave the company and be replaced by Doug Ostermann, Stellantis said Thursday in a statement. Knight, who joined the carmaker last year, faced backlash recently over last month’s profit warning, which came a week after she characterised the company’s full-year margin target as “ambitious.”
Knight was the first executive to initially raise an alarm on Stellantis’ expectations during an analyst call on 30 April. While the shares were already on a downward trend before that event, their decline accelerated from that point.
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Uwe Hochgeschurtz, who served as chief operating officer of the enlarged Europe region, will leave the company as well. Stellantis also made changes to its North America leadership and atop the Maserati and Alfa Romeo brands. The moves come after the Stellantis board of directors held a two-day meeting in the US this week.
Stellantis is reeling from a slowing and more competitive auto market and internal issues including model delays, putting CEO Carlos Tavares under intense pressure. Investors, dealers and unions have taken him to task over sliding sales, a dated US vehicle lineup and bloated inventory.
Bloomberg reported on Wednesday that Tavares was eyeing a sweeping management shakeup in response to the automaker’s malaise, with possible changes affecting departments from finance to regional operations to individual brands. His own contract ends in early 2026, with the board already looking for a successor.
Investors had criticised Stellantis for its profit warning, which included an industrial free cash flow projection for at worst negative €10 billion ($10.9 billion) — a dramatic pullback from prior guidance for a positive result. Analysts downgraded the stock and said the magnitude of the cuts have led to a loss of top management credibility.
As part of Thursday’s shakeup, Antonio Filosa was named North America chief operating officer in addition to his role as CEO of the Jeep brand. He replaces Carlos Zarlenga, whose next position “will be subject to a further announcement,” Stellantis said. Santo Ficili was appointed CEO of Maserati and Alfa Romeo.
Stellantis’ US shares rose less than 1% after regular trading in New York. The US-traded stock has tumbled 43% this year through Thursday’s close.
The automaker confirmed an earlier Bloomberg report that a formal process is underway to identify a successor to Tavares at the conclusion of his term. Chairman John Elkann is leading the special committee overseeing that effort, which will conclude late next year.