Stelios steps down from EasyJet

by Gordon MacMillan,, Brand Republic 18-Apr-02, 09:00

LONDON - Following pressure from shareholders, EasyJet founder Stelios Haji-Ioannou is to step down as chairman of the budget airline a year early.

He is to be replaced by Sir Colin Chandler, currently chairman of Vickers Defence Systems.

Stelios, who describes himself as a serial entrepreneur, launched what was the first low-budget UK airline in 1995 and took it public in 2000. His departure from EasyJet comes following pressure from shareholders who were thought to be unhappy with his hands-on role at the company.

The son of a Greek shipping magnate, he will retain a high profile role in a number of other spin-off companies within the growing Easy empire. These include the internet cafe chain EasyEverything and the car rental business EasyRentacar.

In a statement, Stelios said: "Since the IPO, EasyJet has gone from strength to strength and, as the recent trading statement revealed, I am very confident about its prospects. The company has a strong management team led by Ray Webster, the chief executive, who has been with EasyJet from the beginning and who has been running the company for the last couple of years."

He added: "I intend to remain a significant shareholder of this company for a very long time. However, as I have made clear on several occasions in the past, I have no other source of income from EasyJet other than disposal of shares and, as I engage in new ventures, I may need to liquidate some of my stock from time to time. As I have said before, I need to sell my past to finance my future."

Stelios went on to say that the City was littered with entrepreneurs who held on to their creations for too long. He said he was taking note of "the concerns of institutional investors" and wanted to ensure the company abides by the highest standards of corporate governance.

Sir Colin is currently chairman of Vickers, a Rolls-Royce subsidiary, deputy chairman of Smiths Group, and a director of Thales, the UK subsidiary of the French aerospace, defence and IT company Thales.

He is also pro-chancellor of Cranfield University and was formerly chairman and CEO of Racal Electronics and was variously managing director, chief executive and chairman of Vickers.

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