The chief executive of German automotive supplier Continental, Karl-Thomas Neumann, stepped down yesterday, concluding a months-long power struggle with the company’s majority shareholder, Schaeffler Group, for control of its operations. Continental said Elmar Degenhart, previously head of Schaeffler’s auto unit, will succeed Neumann effective immediately. Degenhart also will head Continental’s Powertrain division, reported the Wall Street Journal. Herzogenaurach-based Schaeffler and Continental have been locked in a battle for control since the family-owned Schaeffler ran into financial difficulties following its takeover of the Hannover-based tire maker. “Today’s decisions clear the way for a trust-based collaboration between the two companies in the interest of their customers,” said Jürgen Geissinger, Schaeffler’s president and chief executive. As part of the management shake-up, Rolf Koerfer said he would be willing to step down as chairman of Continental’s supervisory board once a new chief financial officer has been chosen and other executive changes have been made. The previous finance chief, Alan Hippe, left the company earlier this year. Continental said a search is under way for a new finance chief from outside both companies. It also appointed three of its executives to join its management board: Ralf Cramer, Helmut Matschi and Nikolai Setzer.
Germany’s Continental Chief Steps Down
After a prolonged power struggle, CEO of German auto supplier Continental, Karl-Thomas Neumann, stepped down Wednesday.
August 13, 2009