PayPal Holdings Inc. (PYPL) inched down to $93.66 per share on Monday as the corporation declared that it will not renew its jersey sponsorship with the National Basketball Association’s Phoenix Suns if team owner Robert Sarver remains with the organization after completing his ban for workplace misconduct.
Sarver was suspended for one year and fined $10 million by the NBA last week after an independent inquiry revealed he engaged in aggressive, racially insensitive, and inequitable behavior against female employees.
PayPal CEO Dan Schulman said in a statement that they studied the conclusion of the NBA league’s independent inquiry into Phoenix Suns owner Robert Sarver and found his conduct inappropriate and inconsistent with their principle. He added, The Suns’ relationship with PayPal will terminate at the end of the current season. They will not renew their sponsorship if Robert Sarver remains connected with the Suns organization after serving his ban, based on the conclusions of the NBA’s inquiry.
PayPal’s jersey sponsorship arrangement with the Suns, which also includes the Women’s National Basketball Association’s Phoenix Mercury, was revealed in 2018 and saw the payment processor’s emblem appear on the front of the team’s uniform.
‘Sarver issued a statement following the suspension in which he stated that while he disagreed with some of the specifics in the NBA report, he wanted to apologize for his comments and behavior that hurt workers.
CFO of PayPal Going on Medical Leaves
PayPal Holdings Inc. announced that Chief Financial Officer Blake Jorgensen will be on leave to address a curable medical issue.
According to a statement on the company’s website, Jorgensen, who took over as CEO last month, will be replaced on an interim basis by Gabrielle Rabinovitch. Rabinovitch will remain vice president of capital markets, investor relations, and treasurer. CEO Dan Schulman in a statement to employees articulated that Blake has been totally absorbed in serving the company during his first months as CFO. They look forward to Blake returning to his role after his rehabilitation.
PayPal has been undergoing a number of management changes. Jorgensen took over as CFO after former CFO John Rainey left to join Walmart Inc. earlier this year. The business has also stated that it is undertaking an external hunt for a new chief product officer in preparation for Mark Britto’s departure later this year.