Political oil slick

The reasons for the change were "not purely business-related, but had to do with the strategic importance of that company," Prime Minister Jarosław Kaczyński said, admitting that Chalupec's personal relationship with the former government was too close.

Chalupec was appointed by the former leftist government under Leszek Miller. In contrast, Piotr Kownacki is a former colleague of President Lech Kaczyński's at the Supreme Chamber of Control and enjoys more trust from the present government.

PKN Orlen, which is 27 percent state-owned, was established as a merger of two state oil monopolies. Igor Chalupec, who took the chief executive position in 2004, is considered by many to have greatly improved the company's poor image and obsolete structure. "I am leaving a firm that is transparent, well integrated and much more efficient. Above all, the firm is adhering to the best practices of corporate governance and has a clear strategy for the future," Chalupec stated in a press release marking his departure. Chalupec also resigned from his positions in the management boards of Czech oil company Unipetrol and of Lithuanian refiner Mazeikiu Nafta, both taken over by Orlen under his tenure.

Although analysts' opinions vary about what the outcome of Chalupec's departure might bring, they agree it was expected. "Whether this change is good or bad depends on the decisions of the new chief executive and his vision," said PKO BP analyst Ludomir Zalewski. (Reuters)