The Bank of Queensland has made a second major appointment in the space of a week in announcing Westpac’s outgoing head of consumer banking George Frazis will join as managing director and CEO.
BoQ said in a release on Thursday Mr Frazis would join the bank on September 5, ten months after the resignation of former chief executive Jon Sutton due to health reasons.
Anthony Rose will continue as interim CEO until Mr Frazis commences.
BoQ chairman Roger Davis and chairman-elect Patrick Allaway said Mr Frazis’ 17 years of experience across various roles in the banking sector made him a great fit.
“George is the right person to lead BoQ during one of the most transformative periods in the banking sector,” Mr Davis and Mr Allaway said.
“There is a significant amount of work ahead, and with George at the helm, BoQ is well‐positioned to achieve our strategic goals and deliver for our customers and shareholders.”
Mr Frazis joined Westpac in 2009 as CEO of the bank’s New Zealand operations before becoming CEO at the St George Banking Group.
His previous roles include senior executive positions at NAB and Commonwealth Bank.
It is the second major appointment for BoQ in the space of a week after the regional lender announced Mr Davis will step down from his chair position in October to be replaced by Mr Allaway.
Mr Allaway, also currently a non‐executive director of Nine Entertainment Co and Domain Limited, will take over when BoQ releases its full-year results.
BoQ’s release to the ASX said Mr Frazis’ base salary would be $1.3 million, potentially rising if certain performance criteria are met.
His executive service agreement also includes a clause relating to “fundamental changes” if BoQ is subject to a takeover or merger with another bank.
“If Mr Frazis ceases to be the most senior executive in the group, ceases to report directly to the Board or his role is substantially diminished, he may terminate his employment with immediate effect and BoQ must treat him the same way it would if BoQ had given nine months’ notice.”
BoQ cut its interim payout in April after an eight per cent slide in first-half cash earnings to $167 million, with the lender admitting its performance had missed expectations despite wider industry disruption.
The bank’s share price of $9.35 before trade on Thursday is more than 30 per cent down from a three-and-a-half year high of $13.41 in October 2017.