The National Australia has named former Westpac and ANZ executive, Phil Cronican as its new chair, to replace Ken Henry who leaves shortly.
Mr. Cornican is currently interim CEO of the NAB (having replaced former CEO, Andrew Thorburn from March 1) and a director of the bank since 2016.
“Mr. Chronican’s appointment was unanimously supported by Directors at a scheduled Board meeting in Melbourne. He will replace Ken Henry AC as Chairman later in 2019,” NAB said in a statement to the ASX after trading closed yesterday.
NAB shares rose 0.7% to $25.46 ahead of the announcement. Mr. Cronican’s appointment was not a surprise and the NAB board will now choose a new CEO with former NSW Premier and current NAB consumer executive, Mike Baird favoured to get the gig.
Messrs Henry and Thorburn resigned in the wake of adverse comments made about them and NAB in the final report of the Hayne royal commission.
NAB Director David Armstrong, who led the committee recommending the new Chairman, said Mr. Chronican’s experience and knowledge of the challenges and opportunities facing NAB made him an ideal and obvious candidate.
“Phil has been an outstanding Director for NAB and has a deep, extensive background in Australian financial services. Phil told the Board that he did not intend to be considered as a candidate for the CEO role, enabling us to move quickly to appoint him as Chairman,” Mr. Armstrong said.
“We considered a range of internal and external candidates and Phil was simply the most outstanding candidate. This will provide certainty to the market and our shareholders and will simplify the search and recruitment process for a new CEO.
Mr. Chronican said in yesterday’s statement:
“Much needs to change in a meaningful way at our bank. We have unfortunately been found wanting in too many areas when it comes to our customers, and I am determined to ensure that change happens to ensure we meet and exceed their expectations.”
Mr. Chronican has more than 35 years of experience in banking and finance in Australia and New Zealand. This has included responsibility for ANZ’s Australia division, with specific responsibility for ANZ’s Retail and Commercial businesses while at Westpac he had executive roles including Group Executive Westpac Institutional Bank and Chief Financial Officer.
