Scotiabank’s Canadian banking unit COO Kevin Teslyk latest to depart

By Nivedita Balu

TORONTO (Reuters) -The chief operating officer of Bank of Nova Scotia’s Canadian banking unit, Kevin Teslyk, has left the company, according to an internal memo seen by Reuters, the latest in a series of management changes under CEO Scott Thomson.

James Neate, president of corporate and investment banking and Shawn Rose, chief technology officer have also left Scotiabank, the memo said.

On Thursday, former ING Group (NYSE:) executive Aris Bogdaneris, who joined Scotia in September to lead marketing and analytics and oversee the Tangerine business, was appointed as head of the Canadian banking unit following the departure of company veteran Dan Rees.

The changes come ahead of Thomson’s first investor day in December where is expected to lay out a growth strategy for Canada’s fourth largest lender.

Thomson, who took charge in February this year, has made leadership changes that include hiring two senior executives from other financial institutions and a number of internal shifts and promotions ahead of the strategic overhaul.

“A bigger shake-up is probably warranted by the fact that the stock had been underperforming for quite some time,” KBW analyst Mike Rizvanovic said. Scotiabank’s shares have lost about 11% of their value so far this year.

Canadian banks, including Royal Bank of Canada, Bank of Montreal, have announced job cuts due to higher costs forcing. Last month, Scotiabank announced it was laying off around 3% of its global workforce.

Neate, who has held senior executive roles in retail banking, commercial banking and wealth management, among others, will leave the bank at the end of December, according to the memo.

Rose has made a personal decision to leave the bank and move back to California, the memo said, adding that Teslyk, who started as teller at Scotiabank in 1992, is leaving to pursue other opportunities.