BAE Systems names next chairman

BAE Systems makes the Eurofighter jet with French aerospace firm EADS

UK defence giant BAE Systems has said Dick Olver, currently deputy chief executive of BP, will succeed Sir Richard Evans as chairman on 1 July.

Mr Olver, 57, joined BP in 1973 and has since held a number of posts, becoming deputy chief executive in January 2003.

Sir Richard is set to retire after more than 30 years at BAE.

Last month BAE, which has been actively looking for a US partner, announced pre-tax profits before exceptionals for 2003 of £760m, down from £796m in 2002.

Focus on performance

Others who had been touted as possibilities to take over the helm included GKN chairman Sir David Lees and Sir John Parker, the chairman of National Grid Transco PLC.

Former NATO Secretary General George Robertson and National Grid Transco chairman Sir John Parker had also been flagged up as contenders..

Last December, ex-defence minister Michael Portillo ruled himself out of the running to become chairman.

BAE Systems makes the Eurofighter jet in partnership with French aerospace firm EADS.

It also manufactures marine vessels, including submarines, and is undertaking a number of high profile defence manufacturing contracts for the UK government.

These include its Hawk jet fighter/trainer, and two next-generation aircraft carriers.

However, the latter have been dogged by persistent rumours of budgetary problems, and disputes between BAE Systems and the Ministry of Defence.