John Weston, chief executive of BAE Systems, resigned unexpectedly last week after 30 years at the UK company. He was immediately replaced by chief operating officer Michael Turner.
Despite a 4% dip in share price following the news, the move is not seen as reflecting badly upon Weston's performance and is not expected to herald any change in strategy.
Weston, who left for "fresh challenges", did a "good job", says Harry Breach, a London-based analyst at Bank of America, and was right to diversify the company's markets away from the UK and Middle East and to build a presence in the USA.
Turner, who competed with Weston for the chief executive post, is an "old hand" and was kept well informed under Weston's collective leadership style, analysts agree. "Day to day, Weston's departure doesn't leave a vacuum," says Nick Cunningham at investment bank Schroder Salomon Smith Barney.
Source: Flight International
