Toldte got cold feet: from FCL

Friday 2nd February 2001

ALEXANDER TOLDTE: Wanted out

By Nicholas Bryant

The Fletcher Challenge board has not come up with an explanation for the sudden bolt of Alexander Toldte just as he was poised to become Fletcher Building chief executive.

"On reflection I feel he got overawed by the task before him ... I think the jump from being a lifelong consultant was too great," a source close to the board said.

Mr Toldte spent a good part of his career as a partner with international consulting group McKinsey & Co before joining Fletcher Challenge in 1999 as chief financial officer.

He was appointed chief executive of Fletcher Paper just before its sale to Norske Skog.

The source said it was not true that Mr Toldte's plans for the company riled prospective board members, some of whom were of the FCL "old guard" such as former chief executive Hugh Fletcher.

Mr Toldte outlined his plans for Fletcher Building to the Fletcher Challenge board of directors twice before Christmas and it is understood he received their full support both times.

He then went to Canada for a month's holiday and could not be contacted.

Upon returning, Mr Toldte is understood to have phoned Fletcher Challenge chairman Roderick Deane and spoken of concerns over directors, especially Mr Fletcher, accepting his proposals.

"[This was] despite being given full support on two occasions," the source said.

That sparked a relay of phone calls among upper management to find out if anyone had had second thoughts about Mr Toldte's plans.

All board members, including Mr Fletcher, offered their full support.

Mr Toldte was asked if he had canvassed support from individual board members and said he had not.

He was again told of the board's confidence in him but his letter of resignation followed the next morning.

There is some suspicion at Fletcher Challenge that Mr Toldte was offered a job while in Canada. Calls to Mr Toldte for comment on his decision or whether employment in Canada was waiting went unanswered.

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