Philips, a producer of respiratory medical devices, announced that the company’s CEO is set to step away from his role.
The news comes after the company issued a CPAP and ventilator machine recall over concerns that a type of foam inside the machines could disintegrate and release hazardous particles.
The recall affected between three and four million patients and left Philips scrambling to secure new materials at a time when the global supply chain was already snarled by the pandemic.
After nearly 12 years of leading the company, CEO Frans van Houten will step away from his position, effective October 15, 2022. After an evaluation of external and internal candidates, Philips’ supervisory board has unanimously decided to propose internal candidate Roy Jakobs as the next president and CEO of Royal Philips to its general meeting of shareholders. An extraordinary general meeting of shareholders will be held on September 30, 2022, to appoint Jakobs to the role, effective October 15, 2022. Van Houten will act as advisor to the company—supporting the transition—until April 30, 2023. Read more here.
FDA: Faulty Philips Device Reports Accelerate as CEO Departs
The U.S. Food and Drug Administration (FDA) said reports of faulty Philips (PHG.AS) ventilators and sleep apnea machines had risen in the past quarter, underlining problems facing the Dutch company, which has just announced plans to replace its CEO. Read more here.