Tue Sep 02 01:20:21 UTC 2025: **Nestle CEO Fired Over Relationship with Subordinate; Nespresso Boss Steps In**
VEVEY, Switzerland – In a stunning move, Nestle has terminated CEO Laurent Freixe effective immediately after an investigation revealed he had engaged in an undisclosed romantic relationship with a direct subordinate. The breach of Nestle’s code of business conduct prompted the company’s board to launch an inquiry, led by chairman Paul Bulcke and lead independent director Pablo Isla, with the support of outside counsel.
“This was a necessary decision,” stated Bulcke. “Nestle’s values and governance are strong foundations of our company. I thank Laurent for his years of service.”
Freixe, a Nestle veteran who joined the company in 1986 and previously headed European and Latin American operations, had only assumed the CEO role in September 2024. He was tasked with boosting the company’s performance amid declining consumer spending, a concern exacerbated by a nearly 25% drop in Nestle’s share price last year. Nestle, whose iconic brands include Nespresso, KitKat, and Purina, reported a 10.3% drop in first half profits in late July.
Philipp Navratil, formerly CEO of Nespresso, has been appointed as the new CEO. Navratil, an executive vice-president at Nestle, joined the company in 2001 and held several leadership roles, including overseeing the coffee and beverage business in Mexico and leading global strategy and innovation for the Nescafe and Starbucks brands. He joined the company board in January 2025.
“The board is confident that he will drive our growth plans forward and accelerate efficiency efforts,” said Chairman Bulcke. “We are not changing course on strategy and we will not lose pace on performance.”
Nestle shares closed up 0.13 percent at 75.49 Swiss francs on the Swiss stock exchange. Navratil pledged to maintain the company’s strategic direction and drive the value creation plan with intensity.
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