Australian Vintage Limited (AVG) has released an ASX announcement issuing the immediate departure of CEO Craig Garvin after he engaged in conduct that “displayed a lack of judgement and was inconsistent with the values of the company and the high standards expected of its Chief Executive Officer.”
The role vacated by Garvin will be temporarily filled by AVG’s current non-executive director Peter Perrin.
“The Board thanks Craig for his service to the company over the past four years, and the contributions he has made to the business over that time,” said Richard Davis, Chairman at Australian Vintage.
“While we are disappointed by the circumstances leading to his departure, we believe this decision is in the best interests of the company and its stakeholders. The Board remains committed to upholding the highest standards of conduct and accountability for all employees, including senior leadership.”
The ASX announcement states that Australian Vintage has started “an extensive global search” to find a new permanent CEO. In the meantime, Peter Perrin will fulfil the position of Acting CEO, bringing with him over 40 years of wine industry experience including six years as General Manager and Director at Torbreck and five years as Managing Director at Bleasdale. Perrin is also a trustee and honorary life member of the Wolf Blass Foundation, current Chairman of the AVG Board’s Risk and Sustainability Committee and member of the AVG People, Remuneration and Culture Committee.
Australian Vintage will continue to pay Craig Garvin for the duration of his six-month notice period along with reimbursing his accrued entitlements. All unvested performance rights held by Garvin will lapse.
Australian Vintage Limited has assured that the announcement should have no impact on the preliminary discussions around a potential merger deal with Accolade Wines, while also reiterating that “there remains no certainty that any transaction will eventuate.”
AVG recognises the many contributions made by Craig Garvin to the company during his four-year stint as CEO.
“These include steering the company through the challenges of the COVID-19 pandemic and the development and execution of the company’s five-year strategic plan, which transformed AVG into a consumer-led branded business with a commitment to innovation,” said Richard Davis.
The remuneration arrangements for Acting CEO Peter Perrin are as followed:
Fixed Remuneration: $734,886 per annum
EIP Variable Cash: Nil
EIP Variable Equity: Nil
