easyJet plc ("easyJet")

easyJet announces appointment of Johan Lundgren as Chief Executive Officer (CEO)

This announcement contains inside information.

easyJet, Europe's leading airline, is pleased to announce the appointment of Johan Lundgren as CEO.  This follows the announcement on 17 July that Carolyn McCall had advised the Board of her intention to leave easyJet in order to become CEO of ITV plc. 

Johan will be joining the Board of easyJet plc as a director and CEO on 1 December and Carolyn will step down as CEO and from the Board on 30 November.  She will remain with the airline until  31 December to assist with the transition.

Johan has over 30 years' experience in the travel sector, the last 12 of which were with TUI Group where he was Group Deputy Chief Executive Officer and Chief Executive Officer, Mainstream Markets.

John Barton, Chairman of easyJet, said:

"I and the easyJet Board are delighted to announce Johan as our new CEO.  Johan has proven experience in European travel as CEO and in broader group roles.  He is strategic yet operationally focussed and has proved himself to be a customer-centric, charismatic and successful leader.

"easyJet is a structural winner in a dynamic aviation environment.  Johan inherits a leadership team of strength and depth, engaged people and loyal passengers flying on Europe's best network.

"I am sure that under his leadership easyJet will go from strength to strength.

"Finally, I wanted to reiterate everyone at easyJet's thanks to Carolyn for all she has done for the airline and to wish her well in her exciting new role."

Johan Lundgren commented:

"I have flown with and been a fan of easyJet and its wonderful people for many years.  This is an exciting time to be joining Europe's leading airline. Carolyn has built a fantastic team and with them I look forward to contributing to easyJet's continued success."

Notes to editors 

1.    For the purposes of Listing Rules 9.6.13, Johan has been within the last five years, but is no longer, a director of TUI Travel plc which was a publicly quoted company at the time of his directorship (delisted as a publicly quoted company in December 2014).  There is no further information to be disclosed pursuant to Listing Rule 9.6.13.

2.   In keeping with our remuneration policy the new Chief Executive's remuneration package is designed to provide a competitive total pay arrangements with a focus on variable pay and structure in the interest of shareholders.  This is achieved through setting base pay at a competitive level, offering modest pension and benefits and with the potential to earn above-market variable pay subject to the achievement of demanding performance targets.  On appointment annual salary will be £740,000 with a maximum annual bonus opportunity 200% of salary.  One-third of any bonus earned is subject to compulsory deferral into shares for a period of three years.  In addition, there is a long-term incentive plan (LTIP) to incentivise and reward the successful delivery of the business strategy and sustained value creation for our shareholders.  LTIP awards will normally be made annually and  only vest based on three-year performance against a challenging range of financial targets and relative TSR performance set and assessed by the Remuneration Committee. Awards under the LTIP will normally be at 250% of salary with an additional two-year holding period required following vesting and prior to their release. The first award under this plan, therefore, will not vest until December 2020 and will remain subject to the holding period until December 2022 and no additional buy-out arrangements from previously awarded incentive arrangements will be provided. The Chief Executive will also be expected to build and maintain a shareholding equivalent of at least 200% of salary over a five year period following appointment.  In accordance with best practice both the bonus and LTIP contains provisions that will allow easyJet to recover or withhold value in the event of certain defined circumstances.

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