United Continental CFO Leaves Instead of CEO

May 17, 2018 by Douglas A. McIntyre

United Continental Holdings Inc. (NYSE: UAL) Chief Financial Officer Andrew Levy has left the company. Levy leaves behind one of the weakest large public corporation CEOs in America — Oscar Munoz. Munoz has presided over a number of public relations disasters that undermined its brands and probably cost him the board chair position. The performance of United has been poor against its peer group. Levy had been CFO for nearly two years. From appearances, it looks like Levy left in place of Munoz.

In the past year, United Continental’s shares are down 8% to $69.50. Shares of both American Airlines Group Inc. (NASDAQ: AAL) and Delta Air Lines Inc. (NYSE: DAL) have handily outperformed United’s.

The company’s SEC filing about the matter read:

On May 14, 2018, Andrew Levy, Executive Vice President and Chief Financial Officer of United Continental Holdings, Inc. (the “Company”), notified the Company of his intention to resign from the Company.

On May 16, 2018, the Board of Directors of the Company elected Gerald Laderman as Senior Vice President Finance and acting Chief Financial Officer of the Company.

Mr. Laderman, age 60, has served as Senior Vice President Finance, Procurement and Treasurer of the Company since August 2016 and also served in this role from 2013 to August 2015. From August 2015 to August 2016, Mr. Laderman served as Senior Vice President Finance and acting Chief Financial Officer of the Company. From 2001 to 2010, Mr. Laderman served as senior vice president of finance and treasurer for Continental Airlines, Inc. (“Continental”). Mr. Laderman joined Continental in 1988 as senior director legal affairs, finance and aircraft programs. Prior to joining Continental, Mr. Laderman practiced law at the New York firm of Hughes Hubbard & Reed from 1982 to 1988. He holds a bachelor of arts degree from Dartmouth College and a juris doctor from the University of Michigan Law School.

Given his track record with United, it is odd that Laderman was not appointed permanent CFO. That was probably a Munoz decision.

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