Stagecoach chief executive Keith Cochrane resigned today after a "disappointing" performance at the transport group's US business.
Perth-based Stagecoach said it had accepted Mr Cochrane's resignation "with regret".
The move came as the group unveiled a "disappointing" performance at Coach USA for the start of the current financial year.
Chairman Brian Souter, who becomes acting chief executive, said: "As a result of this further setback at Coach USA, the board has asked for a full review of our North American business.
"Keith Cochrane, who has had responsibility for the management and strategy of the Coach USA operations, has resigned as group chief executive and the board has accepted this with regret."
Mr Cochrane has been with Stagecoach for eight years, as finance director and then chief executive.
He is likely to receive compensation in the region of his yearly salary of £522,000.
Coach USA revenues and operating profits in the two months since April 30 were below forecasts as the economic climate hit both commuter and leisure traffic.
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