"We appreciate that a change in leadership creates uncertainty, however, we are firmly of the view that this decisions is in the best interest of the organisation", he said. "So, in this case the board decided that it wasn't working out and decided that we should do a reset and that is what we have made a decision to do", he said.
"The board felt in the end that her leadership style was not the style that we needed going forward".
"The ABC Act fixes the term of appointment of the managing director at five years. I am considering my legal options", she said.
ABC managing director Michelle Guthrie has been sacked from the national broadcaster.
David Anderson, a 30-year veteran of the ABC, will be acting managing director while a formal search process involving internal and external candidates begins.
There was also pressure fronm the external commentariat, with Ms Guthrie regularly finding herself receiving robust criticism from newspaper columnists and radio talk-back hosts, as well as media moguls who believe the ABC is encroaching on commercial enterprise.
But worst of all was the apprehension from within the ABC itself that her faltering relationship with the Federal Government was affecting the ABC's bottom line.
"The board wishes to thank Michelle for her contribution to the ABC".
A brief statement from the ABC said "The decision follows discussions over several months that concluded when directors resolved that it was not in the best interests of the ABC for Ms Guthrie to continue to lead the organisation".
The chairman was meeting with the ABC leadership team today.
During her tenure she trumpeted higher investment in innovative content, investigative journalism and regional journalism, defending the ABC's independence and increasing efficiency across the ABC.
Communications Minister Mitch Fifield noted Ms Guthrie's departure. And, perhaps more importantly, is the appointment of a person who has spent the past four years looking after relationships with advertisers at Google a prelude to at least a partial commercialisation of the assets of the ABC?
In an email to staff at the time, she said: "I am very disappointed and concerned that after the measures we have introduced in recent years to deliver better and more efficient services, the government has now seen fit to deliver what amounts to a further substantial budget cut".
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