Swiss food conglomerate Nestle has announced the immediate dismissal of its chief executive, Laurent Freixe, following revelations of an undisclosed romantic relationship with a direct subordinate. The company said the move was necessary to uphold its corporate values and governance standards.
“This was a necessary decision. Nestle’s values and governance are strong foundations of our company. I thank Laurent for his years of service,” the company stated.
Freixe, who joined Nestle in France in 1986, had been CEO since September 2024. Before his promotion, he led Nestle’s European operations and headed the Latin America division.
Following his departure, Nestle appointed Philipp Navratil, the current CEO of Nespresso, as the new chief executive. Navratil has been with Nestle since 2001, holding leadership roles in Central America and overseeing global strategy and innovation for the Nescafé and Starbucks brands before taking the helm at Nespresso in July 2024.
Chairman Paul Bulcke expressed confidence in Navratil’s leadership, saying, “The board is confident that he will drive our growth plans forward and accelerate efficiency efforts. We are not changing course on strategy and we will not lose pace on performance.”
Nestle reported a 10.3 percent decline in first-half profits in late July, attributing the drop to weaker consumer spending in China despite passing on higher cocoa and coffee costs. Last year, the company’s share price fell nearly 25 percent, raising concerns among Swiss pension funds with heavy Nestle holdings.
Navratil has pledged to maintain Nestle’s strategic direction and implement the ongoing value creation plan with focus and determination.
Headquartered in Vevey on Lake Geneva, Nestle’s portfolio includes well-known brands such as Nespresso, KitKat, Purina, Maggi, Gerber, and Nesquik.
