BT has named Lucent Technologies vice chairman Mr Ben Verwaayen as its next chief executive, as the former telecoms monopoly emerges from a painful restructuring which has halved its debts.
Mr Verwaayen, 49, replaces Mr Peter Bonfield, whose early departure was announced on October 31st. It was widely expected that BT would appoint an outsider as the company grapples with regulatory pressure and increasing competition.
Mr Verwaayen will take up his role on February 1st with a basic salary of £700,000 sterling. He is currently vice chairman of telecoms equipment maker Lucent Technologies in the United States and has had a long career within the telecommunications industry, BT said in a statement today.
Investors will be looking to him to restore stability to BT after a period of upheaval at the company, Britain's most widely held stock. BT shares were indicated virtually unchanged at 260p in early trade, having closed at 261-1/4p.
Investors say it is important that the new boss can stand up to the big personality of Mr Christopher Bland, the former chairman of public broadcaster BBC who took over as BT chairman in May.
Before joining Lucent in 1997, Mr Verwaayen had worked with Dutch telecoms provider KPN during a decade of transformation, BT said.