CIBC revamps executive team

Canadian Imperial Bank of Commerce is revamping its executive team as talk of chief executive officer succession at the country’s fifth-largest lender heats up.

Chief financial officer Hratch Panossian will take on an operating role as head of its personal and business banking business, the Toronto-based bank said Thursday. Panossian will have a joint line of accountability to chief executive Victor Dodig and Jon Hountalas, the group head of Canadian banking.

Dodig has led CIBC since September 2014. Speculation about who could be in the running to replace him has been swirling in financial circles in recent months.

The bank lost one of its most obvious candidates last year when Laura Dottori-attanasio left as head of Canadian banking. She later joined Element Fleet Management Corp. as CEO.

“Victor’s been CEO for a decade. So, it looks like they’re shuffling the pieces around a little bit and hopefully getting some interesting names some different experience,” John Aiken, equity analyst with Jefferies Financial Group Inc., said in an interview. “My gut is telling me that this isn’t the move where Victor’s stepping out the door next month. But it definitely does start the timeline.”

Panossian joined CIBC in 2011. This week’s shuffle will give him experience in one of the bank’s most important business lines and appears to put him in the running as one of a number of potential candidates for CEO.

IT LOOKS LIKE THEY’RE SHUFFLING THE PIECES AROUND A LITTLE BIT.

“Hratch’s expertise in financial services, background in technology and innovation, and commitment to building long-lasting client and team relationships position him well to take on his new role,” Dodig said in a statement Thursday.

On top of Hountalas and Panossian, CIBC’S statement also highlighted two other senior leaders who could be considered in the succession race: Harry Culham, the capital markets head who will take on expanded responsibilities for enterprise strategy and corporate development; and Shawn Beber, who will continue in his current role as head of the United States business, a job he took on in 2022.

Treasurer Robert Sedran will replace Panossian as chief financial officer. “He has been a respected strategic adviser over the course of his career and will be an exceptional addition to our Executive Committee,” Dodig said.

The changes will take effect April 1.