Jim Balsillie and Mike Lazaridis to be stripped of their chairmen roles?
RIM co-chairmen Mike Lazaridis and Jim Balsillie may soon be stripped of their roles, reports Financial Post
RIM's two CEOs – Mike Lazaridis and Jim Basillie – may be stripped of their roles, following the company's poor performance in 2011.
Plummeting shares and pressure from irate shareholders may lead to the co-CEOs losing their positions, reports Financial Post.
Earlier attempts to remove Lazaridis and Basillie from their Co-CEOs and Chairmen positions have been met with resistance. But after the year RIM's had we're not sure how much longer people will keep the faith.
The two RIM officials hold 12 per cent shares in the company, making them the second and third largest shareholders in the business - no one owns more than a 10 per cent stake in the country.
So far all the seven independent directors have voted in favour of Mike Lazaridis and Jim Basillie, despite declining earnings and the company's evaporating smartphone market share.
According to Financial Post much of the negative publicity that surrounded RIM in 2011 was due to the poor performance of BlackBerry Playbook. The daily reports:
'Much of the negative sentiment around RIM in 2011 was caused by the underwhelming launch and poor performance the BlackBerry PlayBook tablet computer, a device that was supposed to be RIM’s answer to rival Apple Inc.’s iPad. While some analysts expected RIM to sell several million PlayBooks in its first year, to date, RIM has sold only about 850,000.'
Barbara Stymiest who is currently an independent director at Research In Motion is likely to replace Mike Lazaridis and Jim Balsillie.
Barbara Stymiest joined RIM in 2007. The 55-year old earlier headed TSX Group Inc. and was a former chief operating officer at Royal Bank of Canada.
There is still a doubt on how this managerial shuffle will play out. But right now, one thing is definitely certain, RIM needs a big shake.