Activision Blizzard to fire their CFO over unspecified cause, who is immediately poached by Netflix

[Bouzoo]

So here is a weird one. On monday, Activision Blizzard said they would fire their CFO over unspecified cause which is weird on it's own since usually big companies give time for their executives to resign, and immediately Reuters went out with a story that Netflix already took him under their wing and is expected to announce it in the next few days. 

 

Quote

Netflix Inc is expected to announce in the next few days that it has poached media finance veteran Spencer Neumann from Activision Blizzard to be its chief financial officer, a source familiar with the matter told Reuters.

Neumann will start at Netflix in early 2019, the source said.

Earlier on Monday, Activision Blizzard said in a regulatory filing that it intended to fire Neumann for an unspecified reason.

Neumann has served in a variety of finance roles including at Walt Disney Co. He replaces David Wells, who in August said he planned to step down after 14 years at the streaming media giant.

The source said Netflix, which is making more of its own films and series, would like its next CFO to be based in Los Angeles with a focus on production finance. Wells is based northern California.

Activision in its regulatory filing said that it intended to terminate Neumann “for cause unrelated to the company’s financial reporting or disclosure controls and procedures.” It said that Neumann had been placed on paid leave.

 

While it is nothing new for company execs to go to another companies, you can probably see with this is a bit weird. What do you think? 

You ready to pay $2.99 to skip commercials and to unlock the new season of your favorite show?

 

Source

[D13H4RD]

The timing is odd.

 

Activision claimed in their letter that the termination had very little to do with finance, and yet, 2018 was not a good year for them.

 

The time when the dismissal was announced is just coincidental.

[Bouzoo]

2 minutes ago, D13H4RD said:

The timing is odd.

 

Activision claimed in their letter that the termination had very little to do with finance, and yet, 2018 was not a good year for them.

 

The time when the dismissal was announced is just coincidental.

It was not good for their stocks from October and later, their quarterly reports say they are making more money their expected, even making new records (still need Q4 reports).

[D13H4RD]

1 minute ago, Bouzoo said:

It was not good for their stocks from October and later, their quarterly reports say they are making more money their expected, even making new records (still need Q4 reports).

Still kinda odd on that timing. Doesn't sound like voluntary departure as well.

[Bouzoo]

Just now, D13H4RD said:

Still kinda odd on that timing. Doesn't sound like voluntary departure as well.

Yeah, that's what, firing you means. 

[D13H4RD]

1 minute ago, Bouzoo said:

Yeah, that's what, firing you means. 

And I'm still figuring out why. Still thinking that Q4 finances may have played a role but to what extent, I haven't got a clue yet until the report is official

[Taf the Ghost]

15 minutes ago, D13H4RD said:

The timing is odd.

 

Activision claimed in their letter that the termination had very little to do with finance, and yet, 2018 was not a good year for them.

 

The time when the dismissal was announced is just coincidental.

If he didn't already have the Netflix job lined up, my assumption is the fired CFO was either sleeping with someone he shouldn't have been or got himself tied up in some exterior financial problems. With another job already lined up, it makes it more complicated. He could have been trying to featherbed for some contacts or other actions that were in his interests but not the company's.

[leadeater]

1 hour ago, Bouzoo said:

Earlier on Monday, Activision Blizzard said in a regulatory filing that it intended to fire Neumann for an unspecified reason.

 

1 hour ago, Bouzoo said:

Netflix Inc is expected to announce in the next few days that it has poached media finance veteran Spencer Neumann from Activision Blizzard to be its chief financial officer, a source familiar with the matter told Reuters.

All I have to say is that is one heck of a landing, if it were the Olympics gymnastics full marks would be awarded.

[Doobeedoo]

This year will be very interesting for Blizzard though. Their stock, just oof. 

[ZacoAttaco]

I think this is more of indicative of Netflix than Blizzard. From my understanding, Netflix have some shady business practices, they are apparently brutal when it comes to letting staff go and their promotion processes. Besides Neumann is from the Blizzard side, these days it seems that the Activision side is the one making all the bad decisions. Still, not a good look for Blizzard though.

[Brooksie359]

2 hours ago, leadeater said:

 

All I have to say is that is one heck of a landing, if it were the Olympics gymnastics full marks would be awarded.

It happens sometimes. I mean if you get fired around the same time that Netflix approaches you about a position then it is easy to just call them back up and say you'll take it. 

[Commodus]

To clarify: Activision is firing Neumann because Netflix poached him.  He was still under contract and is clearly violating those terms by taking another job.

 

Also, for those who aren't aware: Netflix has a history of plucking people from existing jobs rather than waiting for them to quit first.  It's clearly making them offers they can't pass up.

[Taf the Ghost]

7 minutes ago, Commodus said:

To clarify: Activision is firing Neumann because Netflix poached him.  He was still under contract and is clearly violating those terms by taking another job.

 

Also, for those who aren't aware: Netflix has a history of plucking people from existing jobs rather than waiting for them to quit first.  It's clearly making them offers they can't pass up.

Didn't know about Netflix's Headhunting practices. That explains a bit.

[Settlerteo]

19 minutes ago, Commodus said:

To clarify: Activision is firing Neumann because Netflix poached him.  He was still under contract and is clearly violating those terms by taking another job.

 

Also, for those who aren't aware: Netflix has a history of plucking people from existing jobs rather than waiting for them to quit first.  It's clearly making them offers they can't pass up.

Every company does that. When they want you the want you now. That's how it works.

[Commodus]

11 minutes ago, Settlerteo said:

Every company does that. When they want you the want you now. That's how it works.

They do, but they typically pick you when you're not on a contract or wait for you to wind down (within reason).  Here, Netflix snapped up someone who still had months left on a contract.

[Bouzoo]

bump

[vetali]

I don't think his firing was performance related, because the company would quickly announce that in an effort to make the board happy. That makes me think it was some sort of code of conduct issue. 

 

Oh well. After outting Morhaime because the board wanted to get rid of profit sharing among employees at blizzard, I really have no sympathy for the financial state of that company. Watching their stock tank afterwards, even if its following the flow of the market has been incredibly ironic. 

[leadeater]

49 minutes ago, Commodus said:

They do, but they typically pick you when you're not on a contract or wait for you to wind down (within reason).  Here, Netflix snapped up someone who still had months left on a contract.

That doesn't matter, no employment contract can stop you from resigning. Nobody can force you to work. You also cannot be fired for seeking another job and going to interviews so long as you've put in for the appropriate leave to go to those interviews, you definitely cannot be fired for another company offering you a job whether you accept it or not.

 

What is common in the tech industry is when you accept another job offer your employment contract is terminated immediately rather than a more typical resignation and 2-4 week notification period where any required matters can be sorted out and possible replacement sort. Basically you are more a risk to keep because you don't want to be there, you accepted another job.

 

Without any misconduct to call this being fired is a misrepresentation of the situation, immediate termination of contract. I don't know what it is though.

 

The only contract that could keep you working is if you're not employed by the company and are an independent contractor and have a contract with the company, rather different situation.

[IceCold008]

At least he had his phone lol got a new job, cough cough "blizzcon".

 

That joke never gets old.  LOL

[Guest]

Hopefully he’ll put them off those choose your own adventure movies. That last one sucked.

[Settlerteo]

4 hours ago, Commodus said:

They do, but they typically pick you when you're not on a contract or wait for you to wind down (within reason).  Here, Netflix snapped up someone who still had months left on a contract.

That's what i told you. They never wait for your contract to end. They might give you some time(a couple of weeks to a couple of months) if you need them to prepare the company you re leaving and maybe train someone to take your position but that's about it. 

[nick name]

Companies always prefer to hire someone away from another company.  Most talent is already employed and smart people will tell you that it's easier to find a job when you already have a job.  

 

If this guy was headhunted then the firing may very well be a way to exit him from his contract in the cheapest way possible while Netflix probably makes up the difference on their end.  

[Blake]

18 hours ago, D13H4RD said:

The timing is odd.

 

Activision claimed in their letter that the termination had very little to do with finance, and yet, 2018 was not a good year for them.

 

The time when the dismissal was announced is just coincidental.

FYI a CFO doesn't do too much on the generating revenue side of things.

 

Think of them as glorified Accountants.