Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) CEO Amos Shapiro tendered his resignation today, after six years at the helm of Nochi Dankner's mobile carrier. The resignation will take effect at the end of the year.
Shapiro told aides that he resigned for personal reasons and out of a sense of fulfillment. "After six years in the job, every company needs a change," he said.
NetVision CEO Nir Stern will likely replace Shapiro. The two men oversaw the merger of the two companies to create a telecommunications group.
Shapiro added that Stern was "an excellent appointment, due to his experience in the cellular and internet markets." Commenting on the entry of new mobile carriers into the market in 2012, he said, "There are new challenges in this market every year. That's not why I'm leaving. There are more difficult markets that the communications market. This is the best time for personal reasons."
There had been rumors that Shapiro was planning to leave the company, but he and Cellcom's parent company IDB Holding Corp. Ltd. (TASE:IDBH) denied that any decision or date had been set for his departure.
Cellcom's share price fell 2.1% in New York yesterday to $21.83, giving a market cap of $2.17 billion. The share price fell 1% in morning trading on the TASE today to NIS 79.21, before the TASE suspended trading in the share until the company issues a formal announcement on Shapiro's resignation.
An examination by "Globes" in March found that Shapiro's salary cost during his six years at Cellcom was NIS 42.7 million, including stock options. His base salary was NIS 195,000 a month, and he received a bonus of NIS 3.6 million a year.
Published by Globes [online], Israel business news - www.globes-online.com - on October 26, 2011
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