Kinross Gold CFO Paul Barry Leaving Two Months After CEO
Kinross Gold Corp. (K), the Canadian gold producer that fired its chief executive officer two months ago, said Chief Financial Officer Paul Barry will leave the company.
Barry, 54, who has been CFO since March 2011, will pursue other interests, Toronto-based Kinross said today in a statement. He’ll remain in the role until a replacement is appointed and will assist the new CFO during an agreed transition period, the company said.
Kinross, Canada’s third-largest gold producer by sales, said Aug. 1 that it promoted J. Paul Rollinson, previously vice president of corporate development, to replace Tye Burt as CEO. In February, the company took a $2.49 billion writedown on the Tasiast mine in Mauritania, an asset it had acquired 17 months earlier in its C$8 billion ($8.2 billion) takeover of Red Back Mining Inc. A companywide review to cut costs may require “tough decisions,” Rollinson said Aug. 9.
Barry is the latest senior gold-mining executive to get replaced this year as shareholders demand greater returns. Bloomberg has reported that five of the top 20 Canadian gold producers have named new CEOs in 2012, the fastest replacement rate in at least a decade.
The Standard & Poor’s/TSX Global Gold Index, including 57 gold companies, rose 0.7 percent to 339.79 at 11:07 a.m. The index is down 5.7 percent this year.
In mid-August, the Philadelphia Stock Exchange Gold and Silver Index, another equities barometer, reached its lowest level relative to the price of gold in 28 years, according to data compiled by Bloomberg.
Gold fell 2.5 percent to $1,760.50 an ounce at 10:33 a.m. in New York.
Kinross rose 1.3 percent to C$10.31 at 10:45 a.m. in Toronto. The stock has dropped 12 percent this year.
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