Rolls-Royce opts for an engineer to run its business

Warren East replaces chief executive John Riston, who is to retire on 2 July

An engineer has been selected as the new boss of Rolls-Royce.

Warren East will replace John Riston as chief executive. Riston is to retire on 2 July after 14 years with the global aerospace and marine group.

East was previously chief executive of semiconductor developer ARM Holdings, from 2001 to 2013. He has been a non-executive director of Rolls-Royce since January 2014.

Ian Davis, chairman of Rolls-Royce, said: “I am very pleased that Warren East will become the new chief executive. He has an outstanding record as chief executive of ARM Holdings. He is an engineer by training; he has a deep understanding of technology and of developing long-term partnerships. He has proven strategic and leadership skills in a global business and a strong record of value creation."

East said he was excited by the prospect of his new role. "The markets which Rolls-Royce serves and the technology it deploys are fascinating. This is a wonderful opportunity and I am very much looking forward to leading this remarkable company.”

As well as being a non-executive director of Rolls-Royce, East also serves on the boards of BT, De La Rue, Dyson, Micron Inc. and Digital Catapult. His intention is to stand down from all but one of his current roles in line with Rolls-Royce company policy.

On appointment Warren East’s annual base salary will be £925,000. He will receive a pension allowance of 25% of salary, will be eligible to participate in APRA up to a maximum of 180% of salary per annum, and in the PSP up to maximum of 180% of salary. These benefits will be in line with or below those currently received by John Rishton.