Bank Leumi (TASE: LUMI) CEO Galia Maor is quitting the race for the chairman of the board position at the bank. Maor posted an entry today on Bank Leumi's blog, presented on the bank's website, explaining her decision.
Maor intends to remain as CEO of the bank.
Maor wrote, "Leumi is my home. For the past 19 years I have been listed among its senior executives, and for the past 15 years I have run it.
"My decision to run for the position of director at the bank, and then for the chairman post, was reached after current chairman Eitan Raff announced his decision not to continue for an additional term, and to step down as chairman of the board when his current term ends this summer. Eitan and I accompany one another and have worked side by side for 15 years already. Our excellent relationship affected and continues to positively affect the bank's operations, and even when there were disagreements, they were on professional issues, and we always knew to reach the decision which first and foremost was for the good of the bank.
"When the decision was reached, I worked according to the law and in a transparent manner. I did not work in the dark, not hidden, not in deceitful ways. I turned officially to the bank's appointments committee (which represents the State of Israel), I filled out official candidacy forms like any candidate, I publicized my candidacy, openly, and without hiding anything.
"In contrast to the impression emphasized recently in many places, naming a CEO to the chairman role of the same company is a legitimate, common, planned, and positive move, which is made in hundreds and thousands of organizations, in Israel and abroad, including banks. Through this move, the organization keeps the knowledge and the accumulated organizational experience. Such a practice increases, on one hand, the organization's stability, while at the same time injects new and fresh blood into the upper management ranks. This model exists and was widespread even in the banking system, including banks under state ownership.
"The issue of my nomination as director is not in itself a legal issue. I will not do a thing which has even a doubt of illegality. If there is a disagreement over a legal analysis, then a court is the appropriate place to resolve it.
"Under the circumstances which have been created, I decided that it is preferable for me to withdraw my candidacy for director of Bank Leumi. I do so out of concern for the bank, its stability, its path, and because the good of its customers and workers is important in my eyes.
"As CEO of the bank, I will continue to lead the bank with loyalty, responsibility, and professionalism for the good of its entire stakeholder community, as I have done until now."
Published by Globes [online], Israel business news - www.globes-online.com - on February 15, 2010
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