Jan 21, 2013

He went to Rio, and lost $35b: Albanese’s destructive path

The media let Tom Albanese off the hook too easily. The ousted Rio Tinto boss will go down as one of the most value-destroying executives in global corporate history.

Adam Schwab ā€” Business director and commentator

Adam Schwab

Business director and commentator

Tom Albanese

Despite an extraordinary number of column inches devoted to his sacking, the financial commentariat seems to have been relatively kind to sacked Rio Tinto chief executive Tom Albanese. A few have even praised his technical expertise, others have noted Albanese was relatively humble while some even reported on his dedication and love of mining.

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6 thoughts on “He went to Rio, and lost $35b: Albanese’s destructive path

  1. SBH

    And all the while we are being told these are the smartest guys in the room and the worlds problems are to big and complex for ordinary people (or people on ordinary wages) to sort out.

  2. klewso

    What’s (losing) $35 billion (of investors money) these days? These happened how many years ago – and did he draw a bonus between?

    While AS(L)IC would rather chase much smaller fry, like Moylan :- “because our “press” was too lazy to research what he did, before rushing off to beat each other to spread that bullshit?”

  3. yoyo mah

    Would Rio like to buy my 2006 Mazda 3? I’ll take $2mill.

  4. Mike Flanagan

    yoyo mah;
    They can have my old ‘bucket of bolts’ but I warn them, it is quite few ‘clicks’ to its’ parking lot.

  5. bjb

    Hey Adam, you’re a smart guy, so maybe you can answer this. We’re forever hearing from boards and remuneration consultants about aligning shareholder value with CEO remuneration. Is there some branch of mathematics I’m not familiar with where losing $35bill gets you rewarded with north of $50mill ?

  6. Mike Flanagan

    Not only does this “illustrious” business leader display his ‘leadership’ by destroying 30 odd billion dollars of shareholders funds, he acts as front man for a challenge to a legitimately and democraticly elected government’s program.
    His call, on behalf of others, on the MRRT and the Carbon abatement scheme, were proven with experience to be BS, and were expected to be so by many, to be so, at the time of his pronouncments.
    This was all carried out with a public re-enforcement of an American image that probaly hasn’t got the democratic right to vote in the country.
    Send him home with his gold crusted dust that he must have on his fallen image, to give the Murdochs some company.
    Bah!! Most of the business community no nothing of responsibity and leadership.

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