×
Home Companies Industry Politics Money Opinion LoungeMultimedia Science Education Sports TechnologyConsumerSpecialsMint on Sunday
×

Olympus may take legal action against ousted CEO Woodford

Olympus may take legal action against ousted CEO Woodford
Comment E-mail Print Share
First Published: Mon, Oct 17 2011. 05 38 PM IST

Ousted Olympus CEO Michael Woodford. Photo: Reuters
Ousted Olympus CEO Michael Woodford. Photo: Reuters
Updated: Mon, Oct 17 2011. 05 38 PM IST
Tokyo: Olympus may take legal action against ousted chief executive officer (CEO) Michael Woodford accusing him of disclosing confidential information in media reports following his firing on Friday, a senior executive told investors on Monday.
Hisashi Mori, executive vice president at Olympus, spoke to investors and analysts in a conference call on Monday, according to an investor who joined the discussion.
Ousted Olympus CEO Michael Woodford. Photo: Reuters
Woodford, 51, was sacked on Friday just two weeks after the company had promoted the Briton from president.
Mori reiterated that Woodford was let go because of management differences, stating that Olympus board members had harbored doubts about the CEO before his promotion, the investor said on condition that he not be identified.
Mori also confirmed that Woodford on Thursday had sought his resignation and that of chairman Tsuyoshi Kikukawa, who replaces Woodford as CEO, over payments made in 2008 to financial advisers in the purchase of British medical equipment maker Gyrus.
In media reports published on Monday, Woodford was cited as saying those fees amounted to $687 million, or 36.1% of the transaction price.
Mori told investors on the conference call that the amount, although expensive, was less than half that figure. He declined, however, to give the exactly amount.
On Monday, Olympus’s stock plummeted 24%, extending an 18% fall on Friday, wiping out $3.2 billion in market value from the Japanese precision instrument and camera maker.
Mori apologized for the loss to shareholders resulting from that stock tumble. He also said that no plan was yet in place to pick a new CEO, the investor told the news agency.
Comment E-mail Print Share
First Published: Mon, Oct 17 2011. 05 38 PM IST