Brown Michael (Michael Brown)

2016: Departure from the job of the head of Symantec

On April 28, 2016 Symantec announced resignation of the head of the company Michael Brown who held this position about one and a half years. Analysts are surprised with this statement.

According to the message of Symantec, Michael Brown will resign authority of the CEO and president of the company while his successor is found. Within search of the new head the so-called office of the president (Office of the President) under the leadership of Ajei Gopal who is appointed the acting as the CEO of the American company was created.

The head of Symantec Michael Brown resigns

During the conference devoted to the publication of the forecast for income and the statement for change of the head of Symantec, top managers of the company said that the new company executive should have experience of management of the company market participant of cyber security or sales of solutions SaaS on which Symantec focused. Change of the CEO was discussed before the publication of preliminary financial results, and was going to make the decision on the matter proceeding from whether Brown reached main objectives which he set at taking office, especially on Veritas sale, reported in the company.

In January, 2016 Symantec sold Veritas to Carlyle Group investment firm. The cost of the transaction was $1 billion lower than the price stated earlier because of problems in the market of debt instruments.

Michael Brown's leaving became a bolt from the blue — the analyst of Robert W says. Baird & Co. Steve Ashley. — We believe that investors were happy with its management during reorganization of the company which included department of Veritas.

In day when it was announced Michael Brown's resignation, stocks of Symantec fell in price for 6.1%. Since the beginning of 2016 of quotation of vendor were reduced by 14%.

In addition to information on change of the CEO, securities were influenced by the updated forecast for income for the fourth financial quarter closed on April 1, 2016. The company expects revenue in $873 million whereas before predicted $885-915 million, and on Wall Street predicted $901.2 million^[1]

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