Brekke steps in as interim DTAC CEO
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SIGVE BREKKE, vice chairman of Total Access Communication (DTAC), is once again heading up Thailand's second-largest cellular operator, this time on an interim basis following the resignation of Jon Eddy Abdullah from the post of chief executive officer
DTAC called an urgent board meeting yesterday before announcing Abdullah’s resignation, which had immediate effect.
The company said chairman Boonchai Bencharongkul had started the process of searching for a new CEO.
DTAC appointed Abdullah as chief executive in March 2011. He joined the Thai company from Telenor Pakistan, where he was also CEO.
When asked about the reason for his resignation, he said: “There is a strategic difference in how we see taking the company forward. I think it’s best to resign for the good of the company and the employees.”
Abdullah declined to comment when asked about rumours that Norway’s Telenor – DTAC’s foreign strategic partner – was unhappy with his performance.
DTAC’s net income in the second quarter came in at a stable Bt2.951 billion, up some 0.5 per cent year on year, mainly due to higher earnings before interest and tax, offset by higher depreciation and amortisation.
In June, the National Broadcasting and Telecommuni-cations Commission (NBTC) lashed out at DTAC following a comment made by Telenor’s Asian unit, and the company was warned that the Kingdom was now subject to martial law and that all companies must comply with military rule.
Tor Odland, vice president of Telenor Asia, had told a Norwegian newspaper that DTAC had been ordered to prevent its customers from accessing Facebook through its mobile network on May 28 by the ruling National Council for Peace and Order (NCPO) and the NBTC.
Both the junta and the NBTC denied that they had issued such an order.
On June 15, Telenor Group issued an apology to both the NCPO and the regulator.
Boonchai said Brekke had been asked to serve as interim CEO of DTAC until a new chief executive was identified.
Brekke has significant experience at DTAC, currently acting as vice chairman of the board and previously heading up the company as CEO from 2005 to 2008.
He continues in his role as executive vice president and head of Telenor Group’s Asia operations.
During his stint as DTAC’s CEO, Brekke played a key role in revitalising the financially weak company and turning it into what is now a healthy telecom player.
DTAC’s share price yesterday closed at Bt107, down 0.47 per cent on the day.
