WeWork (NYSE:WE), a co-working space operator, has hired three CFOs since March 2020. Andre Fernandez has been named the company’s newest CFO, replacing Benjamin Dunham, who is set to leave his position after 18 months. Mr Dunham will leave WeWork on June 9, according to the firm, which plans to go public in October 2021 as a result of its merger with a special-purpose acquisition company.
According to the corporation, his resignation was not due to any concerns with financial reporting or accounting. NCR Corp., an Atlanta-based corporate software corporation, hired Mr Fernandez as its CFO in 2018. Fernandez declined to speak despite having over three decades of experience in financial and managerial roles.
Mr Dunham worked for WeWork before joining Yum Brands Inc. as CFO of Pizza Hut Asia and later as CFO of Pizza Hut U.S. He was elevated to CFO in October 2020 after serving as CFO of Pizza Hut U.S. in October 2020. Kimberly Ross, a former Baker Hughes Co. executive who resigned after just six months due to personal reasons, was his predecessor. He was successful in replacing her.
A long recovery from the pandemic led to WeWork’s income being affected by remote work and social-distancing needs, which resulted in his stock price being depressed. The company’s shares gained by 3.09 percent to $7.00 on Thursday, although it has lost 18 percent of its value since January.
WeWork announced sales of $765 million in the first quarter, a 28% increase over the same time last year. There were 166,000 workstations sold, which was the most incredible gross desk sale since early in 2020.
WeWork was unable to go public earlier in 2019 because of concerns about corporate governance, such as a lack of management control. The company’s value was also in question at the time. However, Adam Neumann, the business’s co-founder, and previous CEO, also parted ways with the company.
CFOs at Fortune 500 and S&P 500 corporations have remained in their positions for an average of 4.8 years, according to executive recruitment company Crist Kolder Associates. WeWork did not answer requests for information on where Mr. Dunham was going.
A prorated target bonus and 12 months of pay are included in Mr. Dunham’s severance package under the terms of his employment contract. Mr. Dunham made $600,000 in salary and an additional $180,000 in yearly bonuses, according to his April tax return.
According to documents submitted to the appropriate authorities, Mr. Fernandez will be paid an annual salary of $900,000 plus a 50% yearly bonus. In addition, Mr. Fernandez will earn a $3 million restricted stock award that will vest over three years.
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