Packaging and container company Sealed Air Corp. said Monday that its chief executive officer would leave the company immediately and that its chief growth and strategy officer would leave by the end of the year.
The moves come months after the company announced a plan to cut between $140 million to $160 million in expenses by the end of 2025.
Ted Doheny had been CEO since January 2018, and the Charlotte-based company’s board had, in August 2022, extended his contract to Dec. 31, 2027. He will serve as an adviser to the company until January 2024.
Sergio Pupkin, who had been with the company or a subsidiary since 2011, will leave his role as the chief growth and strategy officer on Dec. 31, the company said. He had been in that role since June 2020.
Sealed Air, best known for its Bubble Wrap product, will conduct a search for a new CEO. It named Chief Operating Officer Emile Chammas and Chief Financial Officer Dustin Semach as interim co-presidents and co-chief executive officers.
“While (Sealed Air) has made progress expanding its portfolio, digitizing its global network, and driving operational efficiencies, the board recognizes there is more work to position (the company) for long-term profitable growth,” said Chairman Henry Keizer in a statement.
Doheny received a compensation package of $10.3 million in 2022, with $1.29 million as his base salary and more than $9 million in stock awards. Pupkin received a compensation package of more than $2 million, with a base salary of $537,500 and nearly $1 million in stock awards.
The company reaffirmed its full year 2023 guidance for revenue of $5.40 billion to $5.60 billion, full year earnings per share in the range of $2.75 to $2.95 and free cash flow in the range of $325 million to $375 million, excluding 2023 payments related to an IRS settlement.
The company, which has more than 16,000 employees, expects to report its third-quarter earnings on Nov. 2.
Sealed Air stock fell 47 cents to $28.58 on Monday.