RIM is thinking of kicking its CEOs off the board and limiting their power to do damage to the company.
For ages, people have said that RIM is insane to have two CEOs and the fact that each of the contending heads is the chairman of the board is seen as Mike Lazaridis and Jim Balsillie having too much power.
According to Reuters, the plan is to kick the two headed monster off the board and replace it with a new chairman who can stand up to them.
Barbara Stymiest, currently an independent member of RIM’s board, is leading the race to replace Mike Lazaridis and Jim Balsillie in the chairman’s job.
Shares in the company rose by seven percent as news leaked out that Lazaridis and Balsillie might actually have someone to stop them.
Some Analysts said that an independent chairman would give RIM a boost as it would increase the value of the company. At the moment Balsillie and Lazaridis can say that black is white and the board has to agree with them.
Others doubt that Stymiest will be as transformational as shareholders want. She has worked for the Bank of Canada where, according to Forbes, she took home $5,650,851.00 in a year. The Chairman’s salary will be a nice little earner on top of that.
Lazaridis and Balsillie are RIM’s second and third-largest shareholders with a little over five percent of the stock apiece. So far they have resisted any changes to the outfit even as shares tumbled 75 percent last year after a series of profit warnings. Then there was the botched launch and dismal sales of its PlayBook tablet.
BlackBerry sales in the US market are falling, leading to price cuts and calls to sell the company on.