UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
14 January 2021
Commission File Number: 001-10691
DIAGEO plc
(Translation
of registrant’s name into English)
Lakeside Drive, Park Royal, London NW10 7HQ
(Address
of principal executive offices)
Indicate
by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form
20-F X
Form
40-F
Indicate
by check mark whether the registrant is submitting the Form 6-K in
paper as permitted by Regulation S-T Rule
101(b)(1):
Indicate
by check mark whether the registrant is submitting the Form 6-K in
paper as permitted by Regulation S-T Rule
101(b)(7):
Diageo PLC – Directorate Change
Dated
14 January 2021
14 January 2021
Kathryn Mikells, Chief Financial Officer, to leave Diageo at the
end of June 2021
Lavanya Chandrashekar appointed
Chief Financial Officer, effective 1 July 2021
Today, Diageo plc ('Diageo') has announced that Kathryn Mikells
('Kathy'), Chief Financial Officer, will leave the company at the
end of June 2021 and will return to the US after almost six years
in role. Lavanya Chandrashekar, Chief Financial Officer, Diageo
North America and Global Head of Investor Relations is appointed
Chief Financial Officer, Diageo, effective 1 July
2021.
Kathy joined Diageo from the Xerox Corporation in November 2015
and, after relocating to London, has overseen an exceptional period
of performance, serving on both the Diageo Executive Committee and
Diageo plc Board. Kathy has been instrumental in driving Diageo's
improved performance trajectory over the past five years and led a
substantial global productivity programme, which resulted in almost
200 basis points of operating margin expansion over a three-year
period. Kathy has played a significant leadership role in making
Diageo a consistent top-tier performer across the critical measures
of success for Diageo; namely net sales value, profit, cash and
total shareholder return.
As part of orderly succession planning, Lavanya Chandrashekar is
appointed Chief Financial Officer, Diageo, effective 1 July 2021
and will join the Diageo Executive Committee and Board. Lavanya
joined Diageo in July 2018 as Chief Financial Officer, Diageo North
America. In this role, she has partnered to drive the acceleration
of growth in Diageo's North American business and, subsequently,
has taken on accountability for Investor Relations
globally.
Lavanya previously spent four and a half years at Mondelēz
International in various senior finance positions in North America,
Eastern Europe, Middle East and Africa. Latterly, as VP Finance,
Global Cost Leadership and Supply Chain, Lavanya led an end-to-end
global productivity programme that delivered strong operating
margin improvement. Prior to Mondelēz International, Lavanya
spent 18 years at Procter & Gamble in senior finance positions
in India, Asia, Europe and North America.
Kathy and Lavanya will undertake a full handover prior to their
transitions at the end of June 2021.
Ivan Menezes, Chief Executive, Diageo,
commented: "I am immensely
grateful for the leadership role Kathy has played in making Diageo
a consistent top-tier performer. She has made a significant
contribution to Diageo's improved performance trajectory, including
her leadership of a substantial global productivity programme and
her critical role in active management of our brand portfolio
through our acquisition and disposal activities. I want to thank
Kathy for being a terrific and committed business partner and
colleague to me and wish her every continued success in the next
chapter of her career. I am delighted that Lavanya will take up the
role of Chief Financial Officer. She brings a breadth of
international experience, has an exceptional grasp of consumer
products value creation and world class experience of effective
cost management. I am confident she will be a huge asset to the
Diageo Executive team and Board when she joins on 1
July."
Javier Ferrán, Chairman, Diageo plc,
commented: "I wish to
sincerely thank Kathy for her dedicated contribution to Diageo over
the past five years and her exceptional partnership with the Board.
She has played a significant role in enhancing Diageo's reputation
with key stakeholders and has improved the discipline of Diageo's
capital allocation policy, whilst also returning value to
shareholders. The Board is delighted that there is a strong
internal successor in Lavanya Chandrashekar, enabling a smooth
transition when Kathy departs at the end of June. Lavanya's strong
track record at Diageo, and previously with leading CPG companies,
will ensure she makes a valuable contribution as we continue to
make progress on our ambition to become one of the most trusted and
respected consumer products companies in the
world."
In accordance with Listing Rule 9.6.15, Diageo confirms that there
are no further details to be disclosed pursuant to Listing Rule
9.6.13.
ENDS
For further information please contact:
Investor relations:
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Lucinda
Baker
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+44
(0) 7974 375550
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Media relations:
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Jessica
Rouleau
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+44
(0)7925 642 561
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Dominic
Redfearn
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+44
(0)7971 977 759
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About Diageo
Diageo is a global leader in beverage alcohol with an outstanding
collection of brands across spirits and beer categories. These
brands include Johnnie Walker, Crown Royal, J&B, Buchanan's and
Windsor whiskies, Smirnoff, Cîroc and Ketel One vodkas,
Captain Morgan, Baileys, Don Julio, Tanqueray and
Guinness.
Diageo is a global company, and our products are sold in more than
180 countries around the world. The company is listed on both the
London Stock Exchange (DGE) and the New York Stock Exchange
(DEO). For more information about Diageo, our people, our
brands, and performance, visit us at www.diageo.com. Visit Diageo's
global responsible drinking resource, www.DRINKiQ.com, for
information, initiatives, and ways to share best
practice.
Celebrating life, every day, everywhere.
Diageo plc
LEI: 213800ZVIELEA55JMJ32
Supplementary Information:
Kathryn Mikells ('Kathy') will be treated in accordance with Diageo
plc's ('the Company') approved remuneration policy and her service
contract, remaining eligible for salary, benefits and bonus until
the date she leaves the Company.
Kathy's service contract provides for a twelve-month notice period.
As part of our orderly succession plan, notice commenced on 13
January 2021 and she will remain an employee and director of the
Company until 30 June 2021. On ceasing employment and subject to
mitigation, Kathy will receive a payment in lieu of notice in
respect of salary and benefits for the remainder of her notice
period.
All Long-Term Incentive Plan (LTIP) awards which are unvested at
the point that Kathy leaves the Company will be pro-rated to the
date of leaving and will remain subject to performance conditions
to be assessed in 2021, 2022 and 2023 with a subsequent two-year
holding period. Upon leaving at the end of June 2021, Kathy will be
subject to a post-employment shareholding requirement of 400% of
salary to June 2022 and 200% of salary for the twelve months
thereafter. At the current time, Kathy holds shares
equivalent to over 800% of salary.
Costs relating to Kathy's repatriation to the US will be provided
in line with internal policies and will be reported in the 2021
Directors' Remuneration Report.
Full details of Lavanya's remuneration will be included in the 2021
Directors' Remuneration Report, following her appointment to the
Board on 1 July 2021. Her remuneration package will
include:
● Annual
salary of US$975,000
● Provisions
relating to Lavanya's annual incentive plan opportunity, bonus
deferral, long term incentive plan opportunity and shareholding
requirement as an Executive Director are all in accordance with
Diageo's 2020 remuneration policy, as approved by
shareholders
● Lavanya
will be entitled to a pension contribution of 14 per cent of base
salary, in line with the maximum pension contribution level for new
employees to the UK workforce
● As
Lavanya will be relocating from the US to the UK, relocation
support will be provided in line with internal policies. Costs
associated with this support will be reported in future Directors'
Remuneration Reports
SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
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Diageo plc
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(Registrant)
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Date:
14 January 2021
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By:___/s/
James Edmunds
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James Edmunds
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Deputy Company Secretary
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