Mobile phone group Orange today confirmed that its chief executive was stepping down.

French-owned Orange said Sol Trujillo, who only joined the group in February last year, would be replaced by its chief operating officer Sanjiv Ahuja.

Orange said Mr Trujillo had "successfully overseen a major programme of organisational and management change" across the group.

It said Mr Trujillo would now return to his native United States to "pursue a range of business interests".

Mr Trujillo focused on making the company's services more user friendly and reintegrating it into parent company France Telecom.

Orange said Mr Trujillo had presided over a total increase in customers of 10.8% during 2003 to 49.1 million and an increase in overall revenues of 9% to 17.9 billion euros (£11.9 billion).

However, earlier this year, newspaper reports claimed Mr Trujillo had fallen out with France Telecom chairman Thierry Breton.

The reports claimed Mr Trujillo was unhappy over Orange's lack of independence since it became wholly owned by the French state-owned telecoms company last year.

For his part, Mr Breton was believed to be disillusioned over the amount of time Mr Trujillo spends on other interests.

Mr Breton said in a statement today that Mr Trujillo had done an "outstanding job" at Orange.

"Sol has moved Orange from the federation of companies that resulted from years of rapid expansion to the unified organisation we have today," he said.

Mr Trujillo said his time at the helm had been a period of "challenge, of achievement and one that I have enjoyed to the full".

He added that he had given the business "the structures and organisation it lacked" and had injected new blood and renewed purpose.

"Having achieved the goals we set with Thierry when I joined as chief executive, the moment has come to pass the baton," he said.

France Telecom, which is seeking to take over the minority of shares in Orange that it does not already own, added in today's statement that it expected the offer for those shares to conclude next month.

It added that it would continue with the development of its stated strategy.

Wednesday March 31, 2004