Lloyds Chief Apologizes After Affair Allegations
August 24 2016 - 8:30AM
Dow Jones News
Lloyds Banking Group PLC Chief Executive Antó nio Horta-Osó rio
Wednesday apologized to the British bank's staff following
allegations that he had an affair while on a business trip.
The executive at the partly nationalized lender pledged to
remain at the bank and push through the next stage of its
strategy.
Earlier this summer the Sun newspaper published photographs of
Mr. Horta-Osó rio, who is married with three children, with another
woman during a work trip to Singapore.
"I deeply regret being the cause of so much adverse publicity
and the damage that has been done to the Group's reputation," Mr.
Horta-Osó rio said in a note to staff on Wednesday. Mr. Horta-Osó
rio also said that he paid for any personal expenses incurred on
the trip.
The 52-year-old is one of the few British-based bankers to ride
out the aftermath of the financial crisis unscathed. Since joining
Lloyds five years ago the Portuguese national buffed his reputation
by reshaping the bailed-out retail bank, helping the U.K.
government cut its stake from around 40% to 9%.
During his tenure at Lloyds Mr. Horta-Osó rio stressed the
importance of simplifying and of rooting out bad behavior in
banking. He regularly told investors and the media that "boring is
good." Following the allegations by the Sun that he had a long-term
affair, he reiterated the importance of maintaining high
professional standards. "I will continue to strive to meet those
standards," he said on Wednesday.
Following the Brexit vote, Lloyds's shares have plunged,
delaying any prospect that the bank would be fully privatized soon.
Headhunters say that the chief executive may soon cast around for a
new job, having done most of the heavy lifting at Lloyds. On
Wednesday Mr. Horta-Osó rio said he was "committed as ever to
leading the Group forward."
Write to Max Colchester at max.colchester@wsj.com
(END) Dow Jones Newswires
August 24, 2016 08:15 ET (12:15 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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