Cable & Wireless announces major management changes

23.NOV.07

Cable & Wireless plc (“Cable & Wireless”), one of the world’s leading communications companies, has announced changes to the management of its International business in preparation for driving the next phase of its value creation.{{more}}

The key elements of the changes are:

Harris Jones to step down as Chief Executive of International and as a Director of Cable and Wireless plc and leave towards the end of 2007 once handover is complete. A search to be initiated to find a new Chief Executive for International;

John Pluthero to become Executive Chairman of International with immediate effect, while continuing his similar role for Europe, Asia & US;

Lord Robertson of Port Ellen to act as Senior International Adviser to Cable & Wireless and to step down as Non-Executive Chairman of International; and

All other aspects of the Group operating structure to remain the same, with Tony Rice continuing as Joint Managing Director responsible for Central Activities and Finance Director.

Commenting on the announcement, Richard Lapthorne, Chairman of Cable and Wireless plc said: “On behalf of the Board, we are very grateful for the strong contribution that Harris has made to the business. Since he joined in November 2004, Harris has successfully rebalanced International towards the growth areas of mobile and broadband, doubling mobile and tripling broadband customer numbers. At the same time, the financial performance of International has improved and International shareholder value has increased by over £1 billion.

“We are now at the stage where we need to accelerate the transformation of service and brand reputation, fuelling further growth in the value of International. John Pluthero has an outstanding track record in this area and the capacity for the role, with the turnaround of Europe, Asia & US now out of the recovery phase, as evidenced by the strong interim results reported separately today and by having installed a strong management team, led by Europe, Asia & US Chief Executive Jim Marsh.

“I am delighted that John has agreed to chair each of the two operating businesses and drive the next stage of our value plan within the existing organisation structure that has served shareholders so well since it was introduced in April 2006, with an increase of nearly £2 billion in market capitalisation and a total shareholder return of 75%.”