April 2 Legg Mason Inc said on Tuesday
that Ronald Dewhurst will leave the company he once hoped to
lead as its next chief executive.
The Baltimore fund firm reported in a press release that
Dewhurst, formerly head of global investment managers, and
Thomas Lemke, its general counsel, will both leave as part of a
leadership shuffle overseen by newly-appointed CEO Joseph
Sullivan, previously Legg Mason's sales chief, was named to
lead the company in February after a five-month search to
replace prior CEO Mark Fetting following his departure at the
start of October. Dewhurst at one point was the other leading
internal candidate for the job. [ ID:nL1E9C745E ]
With $661 billion under management at the end of February,
Legg Mason is among the largest publicly-traded U.S. asset
managers. But unlike peers it has reported outflows of investor
cash nearly every quarter since the financial crisis, tied to
the mixed performance of some of its mutual funds.
Results have improved of late and Sullivan has vowed changes
like offering Legg Mason's affiliated investment managers equity
in their own firms to turn things around. But like Fetting,
Sullivan will be under pressure to end the outflows.
In its release, Legg Mason said Chief Financial Officer
Peter Nachtwey is staying in place and described promotions for
several others it named new members of its executive committee.
Appointments include Terry Johnson as head of global
distribution, Jennifer Murphy as chief administrative officer,
and Thomas Merchant as general counsel, replacing Lemke.
Legg Mason said it also is in the process of hiring an
executive to lead an expanded "Business and Product Development"
function, to create new products either through acquisitions or