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September 5, 2008 9:48:49 PM CDT

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Northern Rock Boss Quits as Fall Continues

Posted Dec 13, 07 7:54 AM CST in Business 

(Newser) – The CEO of collapsing British bank Northern Rock quit this morning without comment, reports the Financial Times. Adam Applegarth resigned last month but had pledged to stay on as CEO until the end of January to guide the struggling company through its upcoming sale. But investors are troubled by the slow speed of the transaction, with Applegarth taking the blame.

Virgin Group remains the leading bidder for Northern Rock, which also announced yet another writedown today, this time a loss of more than $570 million. Northern Rock is now hoping to sell by the end of February. Gordon Brown again yesterday faced calls to nationalize the failing bank, with one pol saying Virgin CEO Richard Branson was not a "fit and proper person" to run a bank.

Source Financial Times (UK)

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A branch of British bank Northern Rock PLC is seen in Croydon, south London, in this Friday, Sept. 14, 2007 file photo. The failing bank's CEO stepped down this morning.   (Associated Press)
Customers line up outside a branch of British bank Northern Rock PLC in Croydon, south London, in this Friday, Sept. 14, 2007 file photo. The failing bank's CEO stepped down this morning.   (Associated Press)
Britain's Treasury chief Alistair Darling delivers his speech during the Labour Party conference in Bournemouth, south England, Sunday Sept. 23, 2007.   (Associated Press)
Billionaire Richard Branson, second left, dressed as an Indian groom wearing a traditional turban, as he arrives for a press conference of FM radio channel Fever 104 FM, which is a collaboration between...   (Associated Press)
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United Kingdom  • credit crisis  • Gordon Brown  • Richard Branson  • Northern Rock  • Virgin Group  • Adam Applegarth


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