The board said that Tony Hayward, currently BP's head of exploration and production, will succeed Lord Browne following his retirement as group chief executive.
Peter Sutherland, BP's chairman, said: "John Browne is the greatest British businessman of his generation and has transformed BP into one of the biggest energy groups in the world. His performance over the past 12 years has been extraordinary, which is no doubt why he has constantly been named by his fellow CEOs as the most impressive businessman in Britain. His vision, intellect, leadership and skill have been a wonder to behold and he will be a difficult act to follow.
"Last summer, John and I had agreed that he would stay as CEO until the end of 2008. John decided that it would be in the company's interest to name a successor now in order to provide an orderly transition. Having made that decision, which the board fully supports, we came to the conclusion that a six month handover would be more appropriate than 18 months.
"It is a testament to John's managerial skill that BP is blessed with having such an impressive managerial top bench to choose from and John and I are delighted to be able to announce that Tony Hayward will be succeeding him from August 1, 2007. Tony has an excellent track record and extensive knowledge of the sector and will be able to draw on John's wealth of knowledge over the next six months."
During Lord Browne's tenure as the chief executive of BP he has presided over a fivefold increase in the company's market capitalization to £104.6 billion and profits to $22.3 billion; while the share price has gone up around 250 percent to 532 pence and earnings per share have gone up over 600 percent.
Lord Browne said: "It has been a privilege to have had the opportunity to turn BP into an international company at the forefront of the energy industry. We clearly have important issues still to deal with which I am determined to address. I am pleased that Peter and I have been able to work together to develop a successor in Tony in whom I have every confidence."
Dr A.B. HAYWARD
Tony Hayward was appointed to the main board of BP in 2003, becoming chief executive officer of BP's exploration and production segment responsible for the group's assets and operational activities relating to the discovery and production of hydrocarbons.
He joined BP in 1982 and, following a series of technical and commercial roles in BP Exploration in London, Aberdeen, France, China and Glasgow, in 1992 he moved to Colombia as exploration manager. In 1995 he became president of the BP group in Venezuela.
In 1997 Dr Hayward returned to London as a director of BP Exploration and following the merger of BP and Amoco, in 1999 he became a group vice president and a member of the upstream executive committee. He was appointed group treasurer in 2000 where his responsibilities included global treasury operations, corporate finance and mergers and acquisitions. He was appointed an executive vice president in 2002 becoming chief operating officer for exploration and production later that year.
He is a non-executive and senior independent director of Corus Group, was appointed Companion of the Chartered Management Institute in September 2005 and was a member of Citibank's Advisory Board between 2000 and 2003.
Dr Hayward was born in 1957. He is married with two children. He is a keen sportsman and enjoys sailing, triathlons and watching football, rugby and cricket.
The LORD BROWNE of Madingley
Lord Browne is Group Chief Executive of BP p.l.c.
Born in 1948, he joined BP in 1966 as a university apprentice. He holds a degree in Physics from Cambridge University and an MS in Business from Stanford University, California. He has also been awarded Honorary Doctorates from Heriot Watt University (D.Eng) and Robert Gordon University (D.Tech), Dundee University (LLD), Warwick University (D.Sc), Hull University (D.Sc), Cranfield University (D.Sc), Sheffield Hallam University (Hon. Duniv), University of Buckingham (D.Sc), Leuven University, Belgium (D.Sc), Thunderbird (LLD), University of Notre Dame (LLD), Colorado School of Mines (D.Eng), D Mendeleyev University of Chemical Technology of Russia, Arizona State University (DHLitt). He is an Honorary Fellow of St John's College, Cambridge and a Senior Member of St Antony's College, Oxford. He is a Fellow and President of the Royal Academy of Engineering, a Fellow of the Royal Society, a Fellow of the Institute of Mining and Metallurgy, a Fellow of the Institute of Physics, a Fellow of the Institute of Petroleum, a Fellow of the American Academy of Arts & Sciences, a Companion of the Institute of Management, an Honorary Fellow of the Institute of Chemical Engineers, an Honorary Fellow of the Geological Society, an Honorary Fellow of the Institution of Mechanical Engineers and an Honorary Fellow of the Royal Society of Chemistry.
Between 1969 and 1983, he held a variety of exploration and production posts in Anchorage, New York, San Francisco, London and Canada.
In 1984 he became Group Treasurer and Chief Executive of BP Finance International.
In April 1986, he took up the position of Executive Vice President and Chief Financial Officer of The Standard Oil Company in Cleveland, Ohio. In 1987, following the BP/Standard merger, in addition to his position as Executive Vice President and Chief Financial Officer of BP America, he was appointed Chief Executive Officer of Standard Oil Production Company.
In 1989, he became Managing Director and Chief Executive Officer of BP Exploration based in London. In September 1991, he joined the Board of The British Petroleum Company p.l.c. as a Managing Director. He was appointed Group Chief Executive on June 10, 1995. Following the merger of BP and Amoco, he became Group Chief Executive of BP Amoco on December 31, 1998.
He is a non-executive director of Goldman Sachs. He was a director of Intel Corporation from 1997 - 2006, a Trustee of The British Museum from 1995-2005, a member of the Supervisory Board of DaimlerChrysler AG from 1998 - 2001 and a non-executive director of SmithKline Beecham from 1996-1999.
He is Chairman of the International Advisory Board of the School of Economics and Management, Tsinghua University, Chairman of the Cambridge Judge Business School and Emeritus Chairman of the Advisory Board of the Stanford Graduate School of Business. He is a Trustee of the Cambridge University Foundation, and a member of the Guild of Cambridge Benefactors. He is a member (and former Chairman) of the British American Business Inc. He is a member of the board of Catalyst; he is an honorary Trustee of the Chicago Symphony Orchestra, an honorary counsellor of the Conference Board, Inc., a Fellow of the American Academy of Arts and Sciences, a Senior Fellow of the Foreign Policy Association, a Trustee of the Eisenhower Fellowship and a Vice President of the Prince of Wales Business Leaders Forum.
In 1999, the Royal Academy of Engineering awarded him the Prince Philip Medal for his outstanding contribution to the field of Engineering. The Stanford Business School Alumni Association presented him with the Ernest C Arbuckle Award in 2001, in recognition of excellence in the field of management leadership. Other awards include the Henry Shaw Medal of the Missouri Botanical Gardens, the Gold Medal of the Institute of Management, the Institute of Energy Melchett Medal (2001), the Society of Petroleum Engineers Public Service Award (2002), the Institution of Chemical Engineers Commemorative Medal (2003), the inaugural Channing Corporate Citizenship Award from British American Business Inc. (2004), the World Petroleum Congress Dewhurst Award (2005), the Dwight D Eisenhower Leadership Award from the Business Council for International Understanding.
He was voted Most Admired CEO by Management Today from 1999 - 2002. He was knighted in 1998 and made a life peer in 2001.
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