PREVENTIVE MEASURES
Brazil CEOs quit in bid to escape graft probes
Sao Paulo — It is not just your imagination. CEOs at Brazil’s most-prominent companies really are stepping down in droves. While reasons vary, intense pressure from the worst economic crisis in more than a century, combined with tougher governance requirements in a country torn by corruption scandals, is contributing to the changes at the top. At least 40 of the 110 Brazil-based companies with an enterprise value of $1bn or more installed a new CEO in the past two years, from telecom giant Oi to aircraft maker Embraer, according to Bloomberg data. In a country that has undergone a jolting change in government, with an impeachment trial and a wide-ranging corruption investigation, board members had become more careful about making sure they were representing shareholders’ interests, said Adeodato Volpi Netto, head of capital markets at Eleven Financial Research. "Periods of crisis tend to drive up the exit of C-levels," Volpi Netto said. "This was intensified this year by a series of...
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