John Menzies board reshuffle following profit warning

John Menzies board reshuffle following profit warning

Aviation services Company John Menzies plc (LON: MNZS) announced a series of board changes following its profit warning last week.

The Company announced that its presiding Chairman of the Board, Dr Dermot F Smurfit, will vacate his position on the Company’s board and be succeeded by Philipp Joening, who is the current non-Executive Director.

Further, the Company said that the new Deputy Chairman will be David Garman, who currently holds the office of Senior Independent Director.

Menzies Board comments

The John Menzies Board commented on the update, with Dr Smurfit beginning,

“I have greatly enjoyed my time with Menzies during which we have delivered on a number of key corporate and financial objectives. I wish the Group and its 36,000 employees the very best for the future as it embarks on the next stage of its journey. I believe that this now requires an industry specialist to bring Menzies to a new level of excellence. I wish my successor, Philipp Joeinig every success in that mission.”

David Garman, followed,

“On behalf of the Board, we would like to recognise and record our sincere appreciation to Dr Smurfit for his significant contribution to our business. He has been an effective and excellent Chairman and we wish him well with his future endeavours.”

Incoming chairman, Philipp Joeinig, added,

“I am very honoured to have been appointed to succeed Dr Smurfit as Chairman of John Menzies plc. I believe the Group has a very exciting future and I look forward to working with the Board and the management team as we look to progressively grow the business and deliver returns to our shareholders.”

The Company’s details then enclosed the following,

“Dr Smurfit joined the Board in July 2016 and oversaw the $202m transformational acquisition of ASIG Ltd, successfully sectioned the defined benefit pension scheme and, most recently, completed the sale of Menzies Distribution, exiting the Group from the print media logistics sector.”

“Following the Distribution sale, the Group’s transformation is now complete and Menzies is a pure play Aviation Services business that is very well placed to prosper in the fast-moving aviation sector.”

Investor notes

Following the update, the Company’s shares 0.82% or 3.5p to 423.5p a share 12/07/19 12:54 GMT. Shore Capital, Berenberg and Peel Hunt all reiterated their respective ‘Buy’ stances on John Menzies stock.

Elsewhere in aviation, there have been updates from; Wizz Air (LON: WIZZ),  Thomas Cook (LON:TCG) and  Ryanair Holdings Plc (LON:RYA).