Telefónica confirms Álvarez-Pallete will head company

Telefónica (MAD:TEF) has confirmed chief operating officer Jose Maria Alvarez-Pallete will take the helm of the company following César Alierta’s resignation last week. His first act in his new role was to ratify the company’s growth strategy and commercial and financial goals as outlined in February, which include a commitment to “an attractive remuneration policy” for shareholders.

Telefónica (MAD:TEF) has confirmed chief operating officer José María Álvarez-Pallete will take the helm of the company following César Alierta’s resignation last week.

The Spanish incumbent’s board of directors today unanimously approved Álvarez-Pallete’s (pictured) appointment as executive chairman of the company and chairman of the board and executive commission.

His first act in his new role was to ratify the company’s growth strategy and commercial and financial goals as outlined in February, which include a commitment to “an attractive remuneration policy” for shareholders, the telco said in a statement. In 2016, shareholders will receive a dividend equal to €0.75 (US$0.86) per share.

Alierta, who held the top job for almost 16 years, recommended Álvarez-Pallete as his successor, saying he is best placed to face the challenges of the digital market.

Álvarez-Pallete first joined the Telefónica Group in 1999 as general manager of finance for Telefónica Internacional and, just a few months later, became general manager of corporate finance at group level. In 2002, he was appointed chairman and CEO of Telefónica Internacional – a role he held for four years. He then served as managing director of Telefónica Latin America, becoming chairman in 2009, and in 2011 became executive chairman of Telefónica Europe. He has held his current role as group COO since September 2012 and been on the board since July 2006.

Álvarez-Pallete holds an economics degree from Complutense University of Madrid and also studied economics at the Université Libre in Belgium. He also completed the International Management Programme (IMP) at IPADE and holds an advanced research degree from the Complutense University of Madrid.

Alierta will remain on the company’s board of directors, serve as executive chairman of Fundación Telefónica, and focus on social projects such as digital education.

Telefónica also has a new board make-up following the voluntary resignation of four long-standing members: Fernando de Almansa, Carlos Colomer, Santiago Fernández-Valbuena and Alfonso Ferrari.

The four nominated independent directors, whose appointments will be voted on at the next general shareholders’ meeting, are Ignacio Cirac, Javier Echenique, Sabina Fluxà and Peter Löscher.