Carlos Tavares has resigned as CEO of Stellantis, the automaker behind brands like Jeep, Peugeot, and Alfa Romeo, following a sharp decline in the company’s stock value and internal disagreements. The resignation was announced on Sunday, with Stellantis confirming that the process to appoint a new CEO is expected to conclude in the first half of next year.
John Elkann, Stellantis Chairman, thanked Tavares for his significant contributions, especially in forming Stellantis through the merger of Fiat Chrysler and Peugeot in January 2021. “Our thanks go to Carlos for his years of dedicated service,” Elkann stated.
This development follows a challenging year for Stellantis, with its stock price dropping from about $29 in March to $13.20. The company’s third-quarter report showed a 27% decline in net revenues to approximately $34.7 billion, due to decreased shipments and other challenges.
Henri de Castries, senior independent director at Stellantis, noted that recent leadership disagreements prompted the resignation. “Different views have emerged, leading to today’s decision,” de Castries explained.
The United Auto Workers union welcomed the change, stating it as a positive step for the company and its workforce. “We are pleased to see the company responding to pressure and correcting course,” the union stated.
As Stellantis works through this transition, the interim executive committee and Elkann aim to continue the company’s strategic initiatives and protect stakeholder interests.
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