Spierings stands down from CEO role
Fonterra chief executive Theo Spierings says he will step down but has not named a date.
Board chairman John Wilson said Spierings had made an ‘‘extraordinary’’ contribution in his almost seven-year tenure in the job.
Spierings said he would look forward to focusing on a ‘‘better world but not a bigger job’’.
Wilson said Fonterra had begun a search for a successor in November last year, and that Spierings would stand down ‘‘later this year’’. It was now shortlisting candidates.
The board had brought forward the announcement to avoid speculation. ‘‘It is not yet clear exactly when any appointment for Theo’s replacement will be made, but it is absolutely clear that Theo will continue in the meantime to drive . . . strategy and business, with special emphasis on China.’’
It was envisaged Spierings would continue to work with Fonterra in an advisory role after he stepped down.
Spierings said it was time to stand down as the co-operative was entering a new phase with a demand-led strategy.
‘‘It is also the right time for me personally. I look forward to new challenges, but right now my focus is on Fonterra. That will be the case until I finish with the co-operative,’’ he said in a statement.
Spierings’ tenure has not been without controversy, particularly when it was disclosed last year he had been paid $8.3 million – a base salary of $2.46m, but topped up with two performance benefits of $1.83m for 2016 and $3.85m for 2017.
The Fonterra board defended this on the grounds he had launched a three-year ‘‘transformational’’ strategy to move more milk into the value-added side of the business.
Wilson said this had added $2 billion to the co-operative’s balance sheet in 2016 and 2017, beating the target by a year.
Recently, Federated Farmers deputy president Andrew Hoggard said farmers had not felt a ‘‘close connection’’ to Spierings. He was less approachable and more distant than his predecessor, Andrew Ferrier.
A Fonterra roadshow will soon start, with board members touring the country to speak to farmers.