Treasury Wine chief stands down

The CEO of Treasury Wine Estates (TWE), David Dearie, who in July announced $160 million in writedowns, has left the company with immediate effect.

Paul Rayner, TWE’s chairman, said following the write-down of excess US inventory announced in July, the board undertook a review and concluded now was the right time to look for a new CEO.

“In particular, having established a solid platform since demerger, the board believes TWE needs a leader with a stronger operational focus to deliver the company’s growth ambitions.”

In July, the company announced that it would destroy more than $35 million of stock in the US as part of a broader $160 million writedown.

Dearie, who was appointed CEO prior to TWE’s demerger from Fosters Group in May 2011, will initially be replaced by Warwick Every-Burns, a non-executive member of the TWE board.

Every-Burns will lead the company on an interim basis while the company searches for a CEO.

Rayner said that Dearie had has “played a critical role in guiding TWE through its demerger and establishing the company as a standalone business”. He also said Dearie had successfully built the profile of TWE’s iconic wine brands internationally.

“The board thanks David for his many contributions to the business, and wishes him the very best in his future endeavours.”