Financial Daily Dose 10.23.2019 | Top Story: Top exec exodus continues, this time at Nike, Boeing, and WeWork


Nike’s top dog, CEO Mark Parker, is stepping down at the beginning of 2020, to be replaced by board member and ServiceNow CEO John Donahoe. Parker, who will assume the role of executive chair when Donahoe takes over, has been involved in a series of controversies in recent years, including doping allegations directed at the leader of Nike’s Oregon Project elite running program and complaints about a “toxic culture of bullying and harassment within the company” – NYTimes and WSJ and Bloomberg and MarketWatch

In other executive departure news, Boeing’s Kevin McAllister—not the grown-up star of “Home Alone” but rather the official “at the center of the company’s efforts to fix the automated system that contributed to” the crashes of two 737Max jets—is out, reportedly for “his poor handling of customer relationships and his management of the commercial division, which is Boeing’s largest business” – NYTimes and WSJ and Bloomberg

And let’s make it a trifecta, shall we, as WeWork’s co-founder Adam Neumann will sell his special controlling shares and leave the company’s board—a side effect of WeWork’s decision to opt for SoftBank’s bailout package meant to infuse much-needed capital at the office space-sharing startup that has struggled to find cash since pulling its IPO plans. No tears for Adam, though, who could walk away with a cool $1.7 billion for his trouble when the dust settles – NYTimes and WSJ and Bloomberg and MarketWatch and Law360

Bonus round, perhaps? Former Obama White House chief of staff Bill Daley has left his position at BNY Mellon, “less than five months after the bank announced his arrival.” Daley’s former boss, Charles Scharf, recently left the bank to take the top job at Wells Fargo, as we discussed here yesterday – WSJ

A split decision for Boris in Parliament yesterday means that despite British lawmakers granting preliminary approval to his new withdrawal deal with the EU, Parliament will not fast track passage of the deal “which could have enabled Mr. Johnson to meet his deadline of leaving the European Union by Oct. 31.” Blocking that option means the Brexit process is now in “a legislative netherworld that could mean months of further delays to a process that the nation has long since wearied of and just wants to see end” – NYTimes and WSJ and Bloomberg and MarketWatch

On Monday, SDNY Judge Victor Marrero threw a sizeable wrench in the OCC’s plans to grant national charters to Fintech companies, a “blow” to the White House’s “effort to offer firms a new pathway to the traditional banking system” based on the Court’s finding that the National Bank Act of 1863 requires that “only depository institutions are eligible to receive national bank charters from OCC” – WSJ

Senator Warren has a few questions for the Treasury Department about the recent weeks of turmoil in the repo markets – Bloomberg

Federal prosecutors have charged six bankers from Goldman Sachs, Moelis, Centerview Partners, and others “with a wide-ranging insider-trading scheme spanning Europe and in the U.S. that yielded tens of millions of dollars in allegedly illegal profits” – WSJ

The NY AG kicked off its trial against Exxon Mobil yesterday after “four years of legal sparring and finger-pointing” to put to the proof its claims that “Exxon kept a secret set of financial books that seriously underestimated the costs of potential climate change regulation while claiming publicly that it was taking such factors into account” – NYTimes and Bloomberg and Law360 and CBS

The world’s central banks have a serious gender equality problem, and the Fed, the BOE, and the ECB are joining forces “to examine why there are so few women in monetary policy and what can be done about it” – NYTimes

It was a good Tuesday for HP, which was on the receiving end of a $176 million verdict against Quanta Storage Inc. over claims that “Quanta participated in a massive scheme to fix the price of optical disk drives.” Texas Federal Judge David Hittner could still treble the award, as jurors found Quanta’s conduct to be “knowing and intentional” – Law360

A few thoughts on what to expect when Zuck takes the hot seat before the House Financial Services Committee later today to discuss his Libra cryptocurrency plans – WSJ and Law360 and Bloomberg and NYTimes

October is cybersecurity awareness month, so join me in my other day job for a few thoughts about protecting yourself and your company from hackers – Kare11

Talk about a smooth operator . . . nothing like blasting the loudest birdsong ever recorded right in a potential mate’s face. Stay classy, white bellbird.  Stay classy – NYTimes


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