Russia’s AvtoVAZ CEO resigns, new CEO to be picked on March 15

MOSCOW, Mar 9 (PRIME) -- CEO of Russian car producer AvtoVAZ Bo Andersson has resigned, and the board of directors will choose a new CEO on March 15, a spokesman for shareholder Renault told PRIME in a letter on Monday.

“Alliance Rostec Auto BV has announced today that Bo Inge Andersson will quit the post of the AvtoVAZ leader… a meeting of the board of directors of AvtoVAZ at which it must be announced who will replace Andersson was scheduled for March 15. His successor will have to lead the next stage of the operations to drag the company out of the crisis,” the spokesman said.

Car sales in Russia decreased 35.7% in 2015, the Association of European Businesses (AEB) said. Sales of affordable AvtoVAZ cars decreased 31%.

In February, AvtoVAZ introduced a four-day workweek and, according to statements of the trade union, published by media then, it said the company will cut salaries by 20%.

The government plans no special financial support to AvtoVAZ, apart from the incentives for the entire car industry.

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