Chemours named Denise Dignam its permanent CEO and president on March 22 and accepted former CEO Mark Newman’s resignation following an internal investigation into executive accounting practices.
Dignam had served as interim CEO after the company placed Newman and CFO Jonathan Lock and accounting officer Camela Wisel on administrative leave.
The company determined the executives placed on leave had delayed certain vendor payments due in fourth-quarter 2023 to accelerate the collection of receivables during the fiscal period, according to a March 6 press release. The individuals were trying to meet cash-flow targets tied to incentive compensation, the company said.
The company also found the executives took similar actions in the prior year-end period, though on a smaller scale, resulting in a significant increase in these cash flow measures for the quarter ended Dec. 31, 2022, and a decrease in the following quarter.
The company launched its investigation after a whistleblower tip.
Prior to her interim CEO role, Dignam was president of the company’s titanium technologies and advanced performance materials segments. The two business segments that Dignam led represented more than 68% of Chemours’ net sales in 2023.
The company credits Dignam with a transformation plan in the titanium technologies segment that led to significant operational savings in 2023.
She also reshaped the product portfolio in the advanced performance materials business to focus on clean-energy and advanced-electronics growth opportunities, the company said.
Dignam said she will continue to focus on strengthening the company’s market offerings as CEO.
“Looking ahead, I will be focused on strengthening our portfolio with high-value and emerging growth opportunities and ensuring we are operating as efficiently, effectively and safely as possible,” she said. “I am committed to continuing to lead with transparency as we do the hard work required to keep building our businesses for today and into the future."
Dignam will receive an annual base salary of $975,000, retroactive to her appointment as interim CEO, a target annual bonus opportunity of 120% of her annual base salary and a target long-term incentive award opportunity of $4. 5 million, the company said in an SEC filing.
Matthew Abbott will continue in his role as interim chief financial officer as the company looks to replace Lock.
