updated 04:30 pm EDT, Tue March 13, 2012
Sprint board takes active approach in carrier
Sprint CEO Dan Hesse is under the watchful eye of the carrier's board members and directors, the Wall Street Journal reported (free subscription required). The board members are said to be nervous about the company's direction, which is not posting profits, and are taking a more active approach in the company's inner working. At board meetings held over the last six months, Hesse wasn't present, sources said.
Hesse was poking fun at AT&T President and CEO Ralph de la Vega at CTIA in October and his comments about data throttling earlier this year were also misinterpreted. These suggest the CEO is facing pressure while trying to turn Sprint around and make it profitable.
A pair of deals the carrier depended on also fell through, including a rumored list-minute break off of a MetroPCS buyout and another regarding talks with T-Mobile on a merger.
Sprint investors, including hedge-fund manager David Einhorn, have gone on record to express doubt about Sprint's management team, headed up by Hesse. Sources said an October lunch meeting saw Dragos Stefanescu, a director at the Ontario Teachers' Pension Plan, strongly criticize Hesse.
Hesse is serving in his fifth year as the carrier's CEO, having helped shore up profits after it merged with Nextel.