Is Partner Communications (Nasdaq: PTNR; TASE: PTNR; LSE:PCCD) CEO David Avner about to resign in the next few months? Speculation has been growing recently that Avner will seek to leave Partner shortly, following the takeover of the company by Ilan Ben-Dov. The two have had an uneven relationship. According to reports from various sources, Ben-Dov recently spoke to senior managers of other companies and hinted to them that Avner was likely to leave of his own accord in the near future. Partner's response to the report was, "Partner does not comment on rumors."
After Ben-Dov bought control of Partner in August 2009, Avner told "Globes" that it was not to be taken for granted that he would remain in his post. At the time, Avner was asked by Ben-Dov to stay on, both in order to avoid upsets at the company and because he esteemed Avner and his achievements. Avner himself did not want to appear as someone abandoning ship, and chose to see out 2009 and introduce Ben-Dov to the business smoothly.
However, steps taken by Ben-Dov following the disappointing performance in the third quarter of 2009 have apparently led to differences of opinion between the two. Partner, it turns out, is being required to streamline aggressively, and the company has hired the services of management consultants McKinsey. The streamlining program and the work plan have yet to be presented to the board for approval, but already there is considerable background noise indicating that some of the measures planned by Ben-Dov are not acceptable to Avner. It is estimated that McKinsey's recommendations will mean that the number of layoffs at Partner will be much higher than the 150 talked of up to now, and there is naturally some friction over this.
Published by Globes [online], Israel business news - www.globes-online.com - on January 3, 2010
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