Grade's defection from BBC hailed a coup for ITV chiefs

Published on Tuesday 28 November 2006 12:36

MICHAEL GRADE'S surprise move from the BBC to become executive chairman of ITV was today hailed as a coup for the commercial broadcaster.

The former BBC chairman's appointment, confirmed in a statement to the London Stock Exchange, is seen as a shot in the arm for ITV, which has been searching for a new chief executive since Charles Allen's resignation in August following a dip in advertising revenues and audience figures.

Mr Grade returned to the BBC two and a half years ago following the departure of chairman Gavyn Davies in the wake of criticism in the Hutton Report.

Martin Slaney, of GFT Global Markets, said: "Grade's defection is certainly a coup for ITV."

Mr Grade will take over in early 2007 and is expected to remain in the role for up to three years.

During the period, ITV said it will appoint a new chief executive with Mr Grade stepping back from day-to-day management to become non-executive chairman.