UPDATE: Deutsche Bank: CEO Ackermann Won't Head Supervisory Board; Proposes Allianz CFO
November 14 2011 - 12:47PM
Dow Jones News
Germany's Deutsche Bank (DB) said Monday that the bank's Chief
Executive Josef Ackermann won't take over as chairman of the
supervisory board when he steps down in May, and it is proposing
Allianz SE (ALV.XE) financial chief Paul Achleitner for the
position instead.
Citing "extremely challenging" conditions on the international
financial markets and in the political-regulatory environment,"
Ackermann said he must focus on his tasks as CEO right now,
according to a statement from the bank. This means he can't spend
time seeking the support of shareholders for his bid to be
supervisory board chairman.
Supervisory board candidates need the support of 25% of the
shareholders to be elected.
A person familiar with the matter told Dow Jones Newswires, that
Ackermann didn't have the time do the necessary lobbying and
couldn't win their backing. Another person familiar with the matter
said: "It became obvious that Ackermann couldn't secure this."
Ackermann's withdrawal coincides with news that German
prosecutors have searched the offices of Deutsche Bank executives
and former executives, including CEO Ackermann himself, following
allegations that they gave false testimony in a trial brought
against the bank by late German media mogul Leo Kirch.
This investigation hasn't helped Ackermann's supervisory board
ambitions, the second person added. As the bank's top supervisor,
it would mean Ackermann would have to lead investigations into his
own actions as a former CEO.
Separately, Allianz said its financial chief Paul Achleitner has
told Deutsche Bank he is available for the supervisory board
post.
Achleitner will leave the insurer's executive board at the end
of May, should Allianz' supervisory board release him from his
contractual obligations. An Allianz spokesman declined to comment
further.
Allianz Chief Executive Michael Diekmann said in a memo to
staff, seen by Dow Jones Newswires, that Achleitner's departure
would be a great loss to the company but also recognition of
Achleitner's "extraordinary contribution to the success of Allianz
in the last decade."
-By Eyk Henning, Ulrike Dauer, and Laura Stevens, Dow Jones
Newswires, +49 69 29 725 108; eyk.henning@dowjones.com