28.04.2004 FORMER FORD EUROPE CEO MARTIN LEACH IS SET FOR THE TOP JOB AT MASERATI

Former Ford Europe Martin Leach CEO is believed to have signed a contract to take over as boss of Maserati, Ferrari's lower entry level sportscar brand.

With Ferrari-Maserati Group President Luca di Montezemolo having recently taken on business commitments outside Fiat, speculation is rife that he plans to draft in a CEO to take over the day-to-day running of Ferrari, and that Leach looks likely to be groomed for the position.

Martin Leach is highly regarded within the automotive industry for being innovative and forward thinking, having been responsible for pushing many exciting and stylish models during his times at Ford and Mazda.

With a strong brand awareness, Leach would easily slot into Maserati's sportscar philosophy.

He finds himself looking for employment after being sacked by Ford last summer when the giant Detroit carmaker learnt he was informally talking to Fiat about the possibility of taking over as auto division boss from the then CEO Giancarlo Boschetti.

He was prevented from accepting the Fiat job after Ford activated an anti-competitive clause in his contract.

However with the clause only valid in the event of him resigning, not being fired, Leach immediately launched legal action to overturn the ruling.

A US judge, Justice D Borman, concluded in late January, after hearing testimony during the previous month, that Ford had sacked Leach on learning he was talking to Fiat, dismissing Ford's submission that he had resigned, and clearing the way for him to seek new employment. Leach had contended that he had approached Ford to seek a mutual split after becoming convinced that he was about to be pushed out.

Ford also dropped a second court case against him taking place in Germany two weeks ago. Leach is presently suing Ford for up to €60 million.

However in the meantime Fiat had appointed former VW Brazil CEO Herbert Demel to the auto division top job, but with Leach, highly regarded at Fiat, now available, talk turned to him taking over at Maserati to drive their ambitious expansion program.

As Ford Europe CEO, Leach presided over the biggest loss in the division's history, a deficit of US$525 million posted in the second quarter of last year. However, he had only been in the job since May 2002 and his plans to turn the situation around, which included further cost cutting, streamlining production, and a strong new model line up as part of the '45-5' strategy, a program which would see 45 new models launched in 5 years that kicked off with the Fusion, Streetka and C-Max, were in reality just starting to take effect.

Prior to taking over as Ford's European CEO he was European Product Development chief and was widely hailed for introducing a range of dynamic diesel models, an area in which Ford had previously struggled. As a former racing driver, as well as an amateur football coach, he was a strong proponent of using motorsport to build brand image and was responsible for introducing exciting and sporty new models, including the class-leading Focus RS hot hatch.

Leach enjoyed a 24 year career with Ford, and from 1997-2000 had a spell heading Mazda's product planning, design and development programs. During this tenure he pushed the lagging carmaker forward, creating a raft of stylish and affordable models, including the Protege, the 6 and the futuristic RX-8.

At the time of his dismissal Ford's Executive Vice-President and previous European CEO, David Thursfield, who was parachuted back in to take over from Leach commented, "Martin contributed to our growth in Europe under challenging conditions. As we move forward, we will build upon that foundation."