KEVIN Campbell has resigned as CEO of Transpacific Industries Group (ASX: TPI), the company announced today.
Human resources firm Spencer Stuart will conduct an international search for TPI's next CEO, with Campbell expected to stay on until a replacement is found to ensure a smooth transition.
Chairman Martin Hudson praised the outgoing CEO's contribution to the business after the board accepted his resignation.
"His leadership has been important at a time when the Group has begun a process of transformation and achieved a stronger capital position," says Hudson in a statement to the ASX.
Campbell believes he is no longer able to provide the commitment required to drive the transformation of the business, and his resignation, in addition to an earnings guidance released today, caused the share price to drop 11.80 per cent to $0.785.
Transpacific was listed at number nine in the Brisbane Business News Top Public Companies annual edition this year and is considered a leader in the industry for waste and recycling strategies.
The company experienced a significant boost to its half-yearly statutory profit in 2012 despite varied trading conditions, however, FY13 is not looking so strong.
"Market conditions were tough in the first half and those conditions have generally deteriorated further," says Campbell in a guidance note also released to the market today.
"Project deferrals by customers and the continuing weakness in manufacturing, industrial and construction activity have all had a negative impact on our operations for the year and in particular, the second half."
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*Please note: Transpacific Industries Group (ASX:TPI) completed a changed of name to Cleanaway Waste Management (ASX:CWY) on July 1, 2016
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