News: GPT Group CEO to lead Suncorp Group, page-4

Further to what I wrote in my previous post.

This article below.

Suncorp's Zwitkowski reaches outside to pick Cameron
The Australian Financial Review revealed in February that Patrick Snowball was on the way out.

Cameron is a safe choice. He understands the company after serving on the board for three years and has a record of turning a business around while being disciplined when it comes to capital management.

While he has run a property company for the past six years, Cameron's background is in financial services where he worked as finance chief for the Commonwealth Bank of Australia and St George.

Cameron turned GPT around, repairing the damage caused in the years of expansion in the lead-up to the financial crisis although he had his fair share of critics within the property sector which does not always warm to outsiders.

Six years is a reasonable tenure for most chief executives in the current market and there was always a likelihood Cameron would move on after turning things around. Snowball leaves after five-and-half years.

Suncorp chairman Ziggy Switkowski says he was after candidates with success in financial services and a focus on  building teams and creating the right kind of performance-driven, customer-oriented culture. He sees Cameron's experience in property development as a bonus.

Suncorp chief executive officer personal insurance Mark Milliner and Suncorp Bank chief executive John Nesbitt were potential candidates. This appointment means other senior management changes at the company are likely.

Cameron is not giving much away about how he will manage the company just yet. He says his priorities will be to maintain stability and keep the momentum going. He says he doesn't see any change to the company's organic growth strategy.

However, there will be interest in his views on regional bank consolidation. Snowball opposed overtures to merge with Bank of Queensland last year. Bendigo & Adelaide Bank has made it clear it is open-minded to the idea of a merger.

Snowball is thought to have been the one who ultimately blocked an approach by Bank of Queensland early in 2014 to merge with Suncorp Bank. Neither bank has confirmed the talks.

Bendigo & Adelaide Bank CEO Mike Hirst told The Australian Financial Review he would always be interested in discussing a merger should the option ever arise, but there had been no discussions.

Snowballalso deserves credit for his transformation of the company, which owns the AAMI and GIO brands, and implementing a less-complex business structure.

michael.smith@copyright link.au