Reynolds American Inc. has announced its proposed leadership team after the anticipated third-quarter acquisition of RAI by British American Tobacco p.l.c. (BAT).
Debra Crew will remain as president and CEO of RAI. Should the acquisition be successfully completed, she will report to Nicandro Durante, president and CEO of BAT.
Andrew Gilchrist, currently executive vice president and chief financial officer of RAI, has indicated that, in the event of the completion of the proposed acquisition, he intends to resign from the company shortly thereafter. Gilchrist’s replacement will be named in the future, and will report to Crew.
Should the acquisition be successfully completed, the majority of RAI and its subsidiaries’ senior executives will remain with the RAI companies. The executives who plan to remain, and their titles at RAI or one of its subsidiaries, will be as follows:
Michael Auger, president of RAI Trade Marketing Services Co.;
Lisa Caldwell, executive vice president and chief human resources officer of RAI, RAI Services Co. (RAIS) and R.J. Reynolds Tobacco Co. (RJRT);
Joseph Fragnito, president and chief commercial officer of RJRT;
Carolyn Hanigan, president of RAI Innovations Co.;
Nancy Hawley, executive vice president of operations of RJRT;
Daniel Herko, executive vice president of R&D of RJRT and executive vice president of scientific and regulatory affairs of RAIS;
Martin (Mark) Holton III, executive vice president of legal and external affairs and general counsel of RAI and RAIS;
- Winton Jennette, senior vice president of strategy and planning of RJRT;
Kevan Ostrander, vice president of information management of RAIS; and
Mark Peters, senior vice president of decision support and transition planning of RAIS and chief financial officer of RJRT.
“I’m delighted that so many of our companies’ strong, seasoned leaders will remain in their roles following completion of the proposed acquisition,” Crew said. “As a group, we are committed to our shared vision of transforming the U.S. tobacco industry, and we are confident that being part of a much larger, global organization will enable us to achieve this vision and amplify our success,” she said.
In the weeks ahead, a new executive vice president of consumer marketing for RJRT is expected to be named, as Cressida Lozano, the current executive vice president of consumer marketing for RJRT, has indicated that, in the event of the completion of the proposed acquisition, she intends to resign from the company later this year.
In addition to Gilchrist and Lozano, Brice O’Brien, the current executive vice president of public affairs and chief communications officer, has indicated that, in the event of the completion of the proposed acquisition, he intends to resign from the company shortly thereafter. Following such departure, his responsibilities will be assigned to Mark Holton, in addition to Holton’s continuing role as RAI’s general counsel.
“Our companies owe Andrew Gilchrist, Brice O’Brien and Cressida Lozano tremendous thanks for their leadership and commitment to our shared success,” Crew said. “Should these resignations occur, we wish them all the best in their future endeavors.”
RAI’s acquisition by BAT is subject to approval by both companies’ shareholders as well as other customary closing conditions. RAI continues to expect the transaction to be completed in the third quarter of 2017.