Renault head takes full reins after deputy exit

3rd September 2013, Comments 0 comments

Carlos Ghosn, the chief executive of French auto group Renault, announced a broad management restructuring on Tuesday that permanently leaves vacant the job held by his evicted number two.

Last week, deputy head Carlos Tavares was pushed out of the company, which also controls Nissan of Japan, after he publicly said he wanted to head a US auto group.

In an interview with Bloomberg, Tavares had said he had little prospect of being able to succeed chief executive Carlos Ghosn as head of the group one day and hinted that he might seek career opportunities elsewhere.

Ghosn, 59, is nearing the end of his mandate with Renault -- set to expire next year -- but so far there are few signs indicating that he plans to leave the post.

The Tavares interview caught Renault, in which the French state holds a 15-percent stake, and its management by complete surprise.

Tavares, born in Portugal and educated in France, had spent most of his career at Renault or Nissan and was considered a company loyalist.

In its announcement, Renault said responsiblities held by Tavares would be split across two newly created divisions, one devoted to product and manufacturing and the other to boosting market share.

In afternoon trading, shares in the company had dipped 0.18 percent to 53.99 euros in line with a Paris market where the CAC 40 index showed a loss of 0.19 percent.

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© 2013 AFP

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