Vale SA (VALE5) Chief Executive Officer Murilo Ferreira will propose appointing Tito Martins as chief financial officer in a management reshuffle that replaces three executive directors at the world’s biggest iron ore exporter.
Ferreira, who was named CEO in April after Brazil’s government criticized management for not investing more locally, will also propose that Eduardo Bartolomeo be named head of the fertilizers unit, replacing Mario Barbosa, the Rio de Janeiro- based company said today in an e-mailed statement.
The restructure comes after at least six senior managers left Vale following Ferreira’s appointment. Vale will maintain seven executive directors under the new structure, that will be sent to the board for approval on Nov. 24, according to the statement.
“This model will contribute to Vale’s objective to seek growth and consolidate its businesses,” the company said in the statement.
Martins, the executive director of base metals, will replace Guilherme Cavalcanti as CFO in the proposal. Eduardo Ledsham, the company’s exploration director, will leave his post, according to the statement.
Vale dropped 0.2 percent to 41.15 reais today. Its shares have lost 15 percent this year, outperforming the benchmark Bovespa index’s 19 percent drop.
Ferreira took over on May 22 after former CEO Roger Agnelli’s mandate expired. Brazil’s government, which holds direct and indirect stakes in Vale, repeatedly criticized the company for not spending more on domestic steel and fertilizer production to generate jobs.
-- Editors: Charles Siler, Andrew Hobbs
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