Merck’s Judy Lewent is The Latest to Go
1 CommentBy Ed Silverman // February 20th, 2007 // 9:24 am
She’ll retire in July after spending 17 years as cfo and a total of 26 years with the drugmaker, during which time she saw its rise and fall.
The last couple of years have been difficult. Lewent, who is 58, had to constantly reassure Wall Street the dividend wouldn’t be cut in the face of the Vioxx scandal. Credit ratings came under pressure - last week, in fact, Fitch cut them. And then there was that embarrassing $2.6 billion tax dispute with the IRS.
Her world was so different in early 2004, though. At the time, Lewent was thought to be in the running to succeed the embattled Ray Gilmartin as ceo. But the Vioxx recall shifted the pieces on the chess board. Dick Clark was promoted to ceo and he hired GE Healthcare’s Peter Loescher as his No. 2. His arrival was followed by the departure of Brad Sheares, who had run Merck’s US drug biz.
And so the handwriting was on the wall - there was no place for Lewent to go.
In a statement, Clark describes her as a “world-class cfo,” but he can’t be upset that he now gets to build his own team. A search will get soon begin for a replacement and both internal and external candidates will be considered.
Clark shouldn’t have any trouble finding a new cfo. Despite Merck’s ills, the job pays well - last year, Lewent’s salary was nearly $835,000 and she received a $793,000 bonus, according to the proxy.
he knows
One thing you have to give to big pharma in general, they pay well. There is enough to go around for everyone, be it cleaning person, drug rep, cfo,bfo, tfo, CEO, you name it. Why? The answer is simple. They bring in so much money with thier strip mining of health care systems be it public or private, that it has to be spread around pritty thick. Of course, as in the old Soviet union, although they are ostensibly all equal some are more equal then others in the big pharma country, when it comes to the thickness of the money role.
Rumour has it that there is a new book on big pharma in the making (do we need another one?) with a tentative title and subtitle:
THE BIG PHARMA TROUGH
(a lot for few on the ills of many)
It’ aim is to expose the iner-most workings of a big pharma co. in a most unusual and perhaps funny way as it deals with the most serious misconduct ever reported.
What do you think? Lets have some of those 3/4 million visitors to this blog and others vote.
ps: ghost writer needed