CEO resigns over conduct with employee
Online travel giant Priceline Group said Thursday that CEO Darren Huston is resigning after an investigation found he had a personal relationship with an employee that violated the company’s code of conduct, handing the company’s reins back to the former chief executive officer who led its rapid expansion in the 2000s.
The employee was not under Huston’s direct supervision, Priceline said. But a company investigation found the relationship still violated Priceline’s code of conduct.
Huston “acknowledged” the relationship and “expressed regret,” Priceline said. It declined to provide more details about the relationship.
Jeffery Boyd, who led the company from 2002 to 2013, will replace Huston as interim CEO while Priceline looks for a new leader. Huston also resigned as CEO of Booking.com, the group’s largest unit.
“This resignation was not related in any way to the company’s operational performance or financial condition,” Leslie Cafferty, a spokeswoman for Priceline, said in an email. There were no issues related to accounting or financial reporting, she said.
Huston oversaw a 30 percent stock increase at Priceline since taking over in November 2013.
Huston’s resignation is a loss for the Norwalk, Conn.-based company but Priceline has a respected interim leader in Boyd, said Dan Wasiolek, an analyst with Morningstar.
Huston will forgo at least $15.3 million in equity awards that haven’t vested yet, according to data compiled by Bloomberg. He reportedly won’t receive any severance.