Nestlé ousts CEO over office affair

Turmoil continues at largest food company

- SONJA WIND

Nestlé SA dismissed Chief Executive Officer Laurent Freixe after only a year due to an undisclosed workplace affair, extending the management turmoil at the world's biggest food company that's known for its conservative corporate culture.

An investigation showed that Mr Freixe had an undisclosed romantic relationship with a direct subordinate that violated Nestlé's code of conduct, according to a release late Monday from the Swiss owner of Purina pet supplies and KitKat chocolate bars. It named Philipp Navratil, who heads the Nespresso coffee brand, as his replacement.

"This was a necessary decision," Chairman Paul Bulcke said in the statement. "Nestlé's values and governance are strong foundations of our company. I thank Laurent for his years of service."

The abrupt change extends a period of turbulence in Nestlé's leadership. Mr Freixe took over after the surprise ouster last year of Mark Schneider, who was let go due to sluggish performance during his nearly eight-year tenure. At the time, Mr Freixe was seen as a safe pair of hands who would restore Nestlé's traditional strengths after Mr Schneider - a rare outsider in the top job - had taken the company in new directions.