Expedia Group, the online travel conglomerate that includes Orbitz, Vrbo, Hotwire and several other metasearch engines, announced this morning that CEO Mark Okerstrom and CFO Alan Pickerill have resigned.
Their resignations come after a reorganization plan led by Okerstrom failed to bring results in the company’s third quarter. Expedia chairman Barry Diller will now oversee day-to-day operations, while chief strategy officer Eric Hart will step in as acting CFO.
The board of directors is tasked with determining the “long-term leadership of the company,” according to statement from Expedia.
“This reorganization, while sound in concept, resulted in a material loss of focus on our current operations, leading to disappointing third-quarter results and a lackluster near-term outlook,” Diller said in a statement.
“The board disagreed with that outlook, as well as the departing leadership’s vision for growth,” he continued. “That divergence necessitated a change in management.”
Expedia’s net income declined 22% in the third quarter. According to The Wall Street Journal, its stock was up 8% on Wednesday morning following the announcement.
Diller also said he would be purchasing additional shares of the company “as a tangible sign of my faith in and commitment to Expedia’s long-term future.” He’s served as the company’s chairman since 2002.
Expedia declined to provide further comment on the resignations.