“Mike has a significant task ahead of him in bringing GN ReSound back on a winning course and getting the business to achieve its great potential,” says Mogens Hugo, Chairman of GN’s Supervisory Board: “We interviewed several very strong candidates, and we are confident that Mike is the best man for the job. He has a proven turnaround track record, he has very strong people management skills and he is an inspiring leader with significant international experience. At the financial level he has delivered impressive results, and we are confident that he will be able to make the difference for GN ReSound,” said Mogens Hugo.

Mr. van der Wallen: What made you accept this position?
“GN ReSound is a very exciting business in an industry full of growth. The company is stressed and needs a turnaround. This combination is truly exciting and a challenge I enjoy taking on,” said Mike van der Wallen.

How do you view GN ReSound as a company?
“In spite of the turbulent year in 2007 and the protracted sales process, GN ReSound still managed to make a profit of DKK 300m (EBITA), even including non-recurring costs. This is not a loss-making company, but a very talented organization that has been under tremendous stress for 16 months, but still managed to develop and launch groundbreaking products. They have a unique ability to churn out products that really change the marketplace – most recently the dot by GN ReSound, the world’s smallest hearing instrument. And we are getting ready to launch yet another groundbreaking product soon. I like to think of Product Life Cycle Management – knowing what products customers will want, how long they can perform on the market, etc. –  as one of my key specialties, so I am really looking forward to working closely with these people and feel their innovative power.”

You are giving up you own business for a rather risky turn-around scenario?
“Yes, this is a turnaround and we’ll come out good. For the single reason that I have successfully led a number of turnarounds and it’s what I like to do. A turnaround program has already been initiated to counter the negative effects of the protracted sales process. This program is being executed, and we will begin to harvest the results in 2008.

You have been on GN’s board since March 2007, so you must have a head start in your plans for GN ReSound. How do you intend to turn around the business?
“When it comes to short-term action, clearly our focus needs to be on winning back business and customers that we have lost during the sales process. Also, we’ll have to make sure that our products deliver the quality levels required to be successful and this means right at launch. More generally, I feel that lots of our colleagues have been hurt by the uncertainty and we have to bring the winning spirit back to GN ReSound. I also realise that many stakeholders are doubtful about GN ReSound: analysts and journalists are sceptical and many shareholders have lost value in the GN shares. We have to become a reliable company again, delivering on our promises. This will bring the confidence back. So I plan to get to work with my team quickly, take inventory, make sure we execute our business, add initiatives to our Challenger program where I feel necessary, and work on a long-term strategy that will bring out the value potential of this business.”

What is your time horizon in this job? Are you hired to ready GN ReSound for sale?
No, GN is a dedicated long-term owner of GN ReSound. As for my time horizon – I worked 17 years with Sony, so I’m not the type to jump ship. However, I won’t promise you that I will stay with GN ReSound for 17 years – and I’m sure nobody would want that either. But I have no personal deadlines.

GN ReSound, clearly, has been suffering lately. How long has the board given you to turn the ship around?
“The board hasn’t issued any specific deadlines. We all know what the task at hand is and we know what we need to do. It’s not like this is a bad company – it actually has a sound foundation to build on,” said Mike van der Wallen.

Resume - Mike van der Wallen

Born: April 21, 1965, in Den Haag, the Netherlands
Nationality: Dutch.
Family: Married to Murielle; two children, a boy, Thom of 10 and a girl, Eline of 9.
Education: Degree in Business Administration, European University, Antwerp, Belgium (1987), Advanced Leadership Program, IMD and Executive Management Program, IMD.

2005- : Founder and Managing Director of Inspiring Management (IM) in Munich,Germany.
2001-2005: Corporate Vice President, Head of EMEA, Sony Ericsson, Munich, Germany.
2000-2001: President, Sony Digital Telecommunication Co., Munich, Germany (the global GSM business).
1998-1999: Vice President, Marketing & Sales, Sony Digital Telecommunication Co., San Diego, USA (the global CDMA business).
1996-1998: Director, Sony Personal Video, Europe.
1994-1995: General Manager, Marketing, Sony’s Consumer Video Division, Europe.
1988-1994: Various positions in sales and marketing with Sony in the Netherlands.
1987-1988: International Commodity Trader, Continental Grain Company, the Netherlands.

Non-Executive Assignments: Mike van der Wallen is a member of the Advisory Board for the software companies SEVEN Networks, Inc. in Redwood City, USA and Miyowa S.A., Paris, France, as well as a member of the Supervisory Board of GN Store Nord. Following his appointment as CEO of GN ReSound, Mike van der Wallen will resign from the Supervisory Board.