Continental AG, the German tire and auto parts company, replaced Chief Executive Officer Karl-Thomas Neumann with Elmar Degenhart, effective on Wednesday.
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Degenhart, 50, is the former chairman of the management board of Schaeffler Group KG's automotive unit.
Schaeffler has been attempting to gain more control over Continental since the family-owned company took over last year. In July, the company’s supervisory board tried to vote Neumann, 48, out as CEO, but missed the two-thirds majority vote needed to make the decision official.
Rolf Koerfer, the chairman of the supervisory board of Continental, offered to resign from his post after the reorganization of the executive board, which will include the appointment of a chief financial officer, according to a statement by Continental. He would initiate the election of a new chairman, but would remain on the supervisory board as the chairman's committee member.
A search for a new CFO will be started immediately, but a candidate will not be recruited from Schaeffler or Continental.
The supervisory board also appointed three new members to the executive board. They are: Ralf Cramer, 43, head of the chassis and safety division of Continental; Helmut Matschi, 46, head of the interior division of Continental and Nokolai Setzer, 38, head of the passenger and light truck tires division of Continental.
Neumann joins a number of other executives who have left Continental in the past year: Alan Hippe, the company's chief financial officer left in April; Hubertus Gruenberg, supervisory board chairman, left in March; and Manfred Wennemer, the last chief executive, left last August.
Schaeffler and Continental are in debt to the combined tune of some euro21 billion.
The debts stem from Schaeffler's Continental acquisition and also from Continental's 2007 acquisition of another German car parts company called VDO, which was a Siemens AG unit.
In late July, Continental reported a second quarter net loss of euro190 million compared with a net profit of euro194 million in the April-June period of 2008. Sales during the period were 27 percent lower at euro4.8 billion.
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