Standard and Poor’s president Deven Sharma has stepped down less than a month after the firm controversially downgraded its credit rating of the US.
Sharma will be replaced by Citibank chief operating officer Douglas Peterson from September 12, 2011, the agency has confirmed.
Sharma will remain with S&P parent company McGraw-Hill until the end of the year to help with a strategic review.
S&P was criticised heavily for its decision to downgrade the US credit rating from AAA. US treasury secretary Timothy Geithner has claimed the agency showed “terrible judgement and handled themselves poorly.”
The company is also rumoured to be under investigation by the US department of justice for AAA ratings that it assigned to certain mortgage investments prior to the credit crunch in 2008.
McGraw-Hill said in a statement that Sharma ’was ready for new challenges’ after helping S&P separate its data, pricing and analytics business from its ratings business.