'BP boss set for top BAE job'
BAE Systems has turned to oil giant BP to fill one of the most important jobs in the UK defence industry, it was reported today.
Dick Olver, who is deputy chief executive of BP, has been identified by BAE as its new chairman in succession to Richard Evans, the Sunday Telegraph said.
The appointment of a new chairman is expected by the company’s annual general meeting in May and would end a long-running and high profile search. BAE Systems declined to comment on the report today.
John Parker, chairman of National Grid Transco, had earlier been seen as a front-runner but his appointment would have clashed with corporate governance rules stipulating no individual chairs more than one blue-chip company.
Another report today – in the Sunday Times – said Cable & Wireless chairman had been approached to take the top job at BAE Systems.
He knows BAE well from his time as the company’s finance director, but Mr Lapthorne has a strong commitment to C&W after spearheading a recovery since joining the telecoms giant in January of last year.
Evans has been a leading figure in the UK defence industry for more than a decade – serving as chief executive of British Aerospace from 1990 and as its chairman since May 1998.
He announced at last year’s annual general meeting that he would be stepping down this May. The Sunday Telegraph said confirmation of Mr Olver’s appointment could be made within the next fortnight.
Mr Olver joined BP in 1973, rising up the ranks to become chief executive of exploration and production in 1998. It is thought that the chartered engineer’s background in oil exploration fits in with BAE’s requirement for someone with an understanding of complex project management.
The position is a significant one as BAE employs 90,000 people, holds orders worth £46bn (€67bn) and plays a leading role in the defence of the UK.
The Farnborough, Hampshire-based company designs and manufactures civil and military aircraft, surface ships, submarines and a range of defence products including guided weapons systems. UK sites include Bristol, Barrow-in-Furness, Cumbria and Woodford, Cheshire.
