Telkom CFO Nelson Resigns, Joining Departure Of CEO

By Robb M. Stewart Of DOW JONES NEWSWIRES JOHANNESBURG (Dow Jones)--South Africa's Telkom SA Ltd. (TKG.JO) said Tuesday its chief financial officer has resigned, the second top level executive to announce his departure in recent weeks after the chief executive officer of the struggling fixed-line phone company announced plans to step aside. The news Peter Nelson will resign as CFO and a board director effective Oct. 9 weighed on the Pretoria-based company's shares, and they ended the day 3.4% lower at 34.62 rand. "The board thanks him for his valuable contribution to Telkom and wishes him well in the future," Telkom said in a brief statement to the Johannesburg stock exchange. It made no mention of a successor, and a spokesman wasn't immediately available to comment. Nelson was appointed to the finance post at Telkom in December 2008. He was previously CFO of Netcare Ltd. (NTC.JO), which operates South Africa's largest network of private healthcare facilities, and prior to that served as director of finance at Pretoria Portland Cement Co. (PPC.JO). Telkom last week appointed industry veteran Jeffrey Hedberg as acting CEO while it searches for a successor to Reuben September, who had been with the former state monopoly for more than three decades and CEO since November 2007. The company in early June had said September would step down when his contract expires in November. Under September, the company sold its 50% stake in mobile operator Vodacom Group Ltd. (VOD.JO), which had been its earnings driver. The company has in recent years struggled with intensifying competition from mobile companies, and it last month said it may sell its loss-making Multi-Links unit in Nigeria. -By Robb M. Stewart, Dow Jones Newswires; +27 11 783 7848; robb.stewart@dowjones.com (END) Dow Jones Newswires July 13, 2010 12:45 ET (16:45 GMT)