26 July 2022
Rolls-Royce Holdings plc
ROLLS-ROYCE APPOINTS TUFAN ERGINBILGIC AS CHIEF EXECUTIVE OFFICER
Rolls-Royce (LSE:RR., ADR:RYCEY) announces that Tufan Erginbilgic has been appointed Chief Executive Officer and an executive director of Rolls-Royce Holdings plc. Tufan will take up his new role on 1 January 2023, succeeding Warren East who, on 24 February 2022, announced his intention to step down at the end of this year.
Tufan, who has a background in engineering, has built his career in international business including over 20 years with BP, with five years as part of its executive team. In his last role before leaving in 2020, he led BP's downstream business, which included Refining, Petrochemicals, Service Station Network, Lubricants, Midstream operations and the Air BP jet fuel operation. During Tufan's tenure, the business was transformed, achieving record profitability and delivering record-setting safety performance. He has held several non-executive directorships in heavy industry and manufacturing companies, including at aerospace technology group GKN. He is currently a partner at Global Infrastructure Partners (GIP), a private equity firm which focuses on large-scale investments in infrastructure businesses and manages $81bn for investors.
Anita Frew, Chair, Rolls-Royce, said: "I am delighted to announce the appointment of Tufan Erginbilgic as chief executive. He is a proven leader of winning teams within complex multinational organisations, with an ability to drive a high-performance culture and deliver results for investors. He has extensive strategic and operational experience and a firm understanding of safety critical industries, including aerospace, as well as the challenges and commercial opportunities presented by the drive for low carbon technologies. He has a strong track record for execution, delivery and the creation of significant value. I look forward to him building on the strategic foundations that Rolls-Royce has laid over recent years."
Tufan Erginbilgic said: "I am honoured to be joining Rolls-Royce at a time of significant commercial opportunity and strategic evolution as its customers embrace the energy transition. I am determined to deliver the full potential of the market positions which the company has built over many years, through its engineering excellence and innovative technology, and to build a platform for growth in order to create value for all stakeholders. I look forward to working with customers, partners and the Rolls-Royce team across the world on the next successful chapter for this iconic global engineering brand."
Tufan Erginbilgic is currently a non-executive director of multinational transport vehicle manufacturer Iveco Group NV; energy, healthcare and technology group DCC plc; and energy company Türkiye Petrol Rafinerileri A.Ş (Tupras). Tufan will be reviewing his involvement in these positions.
There are no other details to disclose relating to Tufan Erginbilgic under paragraph 9.6.13 of the Listing Rules.
For further information, please contact:
Head of Investor Relations, Rolls-Royce plc
Tel +44 (0) 7880 160976
Director of External Communications & Brand, Rolls-Royce plc
Tel +44 (0) 7810 850055
Press photos are available at https://www.flickr.com/photos/rolls-royceplc/
1. Tufan Erginbilgic has a BSc in engineering, an MBA and an MA in Economics. He is a UK and Turkish national and has lived and worked in Belgium, Portugal, Spain, Turkey, the UK and US.
2. Tufan Erginbilgic joined Global Infrastructure Partners in 2020. Previously he worked for BP (1997-2020) in a number of senior roles. He was CEO of Lubricants, BP & Castrol, from 2006 to 2007 and under his leadership the division became an industry leader while quadrupling its profits. He was then Chief of Staff to the Group CEO until 2009 when he became Chief Operating Officer of BP's downstream business and then in 2014 its Chief Executive Officer.
3. Tufan Erginbilgic was a non-executive director, from 2020 to 2021, of CNH Industrial NV, a global capital goods company specializing in equipment and services for agriculture and construction from which Iveco demerged at the start of this year. He was a non-executive director of GKN from 2012 to 2018.
4. Upon joining Rolls-Royce, Tufan Erginbilgic will receive a base salary of £1.25m, 30% of which will be paid as shares deferred for two years. Reflecting compensation which he will forego as a result of leaving GIP, he will also receive two tranches of Rolls-Royce shares, each worth £3.75m at the date of grant, which will vest in 2027 and 2028 and are subject to malus and clawback provisions. To further strengthen the link between executive remuneration and the interests of shareholders, Rolls-Royce is also raising the CEO's minimum shareholding requirement from the existing 2.5 times salary to 4 times salary. Full details of his remuneration will be included in the 2022 Directors' Remuneration Report and is in-line with Rolls-Royce's existing Remuneration policy.
1. Rolls-Royce pioneers the power that matters to connect, power and protect society. We have pledged to achieve net zero greenhouse gas emissions in our operations by 2030 (excluding product testing) and joined the UN Race to Zero campaign in 2020, affirming our ambition to play a fundamental role in enabling the sectors in which we operate achieve net zero carbon by 2050.
2. Rolls-Royce has customers in more than 150 countries, comprising more than 400 airlines and leasing customers, 160 armed forces and navies, and more than 5,000 power and nuclear customers.
3. Annual underlying revenue was £10.95 billion in 2021, underlying operating profit was £414m and we invested £1.18 billion on research and development. We also support a global network of 28 University Technology Centres, which position Rolls-Royce engineers at the forefront of scientific research.
4. Rolls-Royce Holdings plc is publicly traded company (LSE: RR., ADR: RYCEY, LEI: 213800EC7997ZBLZJH69)