Keycorp names new chief Ben Woodhead MAY 18, 2007……australianit.news.com.au/articles
STRUGGLING smartcard maker Keycorp has appointed a new chief executive to replace the retiring boss Bruce Thompson, who will leave the company on July 1. Former LongReach Group chief executive Kenneth Carr has been appointed as Keycorp's new chief executive and managing director, effective from May 18. Mr Thompson has resigned from Keycorp's board but will stay with the company during the transition to Mr Carr's leadership. Mr Thompson tendered his resignation to Keycorp's board in March following five years at the company's helm. He was appointed to run the business in 2001 following his first attempt at retirement when he stepped down as managing director of Hewlett-Packard Australia Dr Carr comes to Keycorp from communication network services firm LongReach Group, where he served as the company's managing director prior to its merger with Allied Technologies last year. Dr Carr has also held positions with IBM Global Services Australia, Lucent Australia, British Telecom and AT&T and has extensive experience in mergers and acquisitions, Keycorp board members wrote in a statement to the Australian Securities Exchange. Keycorp has been targeting acquisitions as it attempts to climb out of a recent sales and profit slump. In March the company reported a 26 per cent year-on-year decline in first half revenue to $39.2 million and a doubling of its net loss to $4.1 million. "The board welcomes Dr Carr to Keycorp and is confident Ken's proven leadership and ability to articulate and execute long range strategic business plans, both domestically and internationally, will accelerate Keycorp's transition to a solutions and services business," Keycorp chairman Malcolm Irving wrote in the ASX statement. Keycorp also detailed Dr Carr's remuneration package, which includes a $353,000 in fixed annual remuneration, including superannuation, and short term incentive payments worth up to $150,000 a year. Subject to shareholder approval, Dr Carr will also receive 1.22 million market priced options valued at $300,000. The options will vest in tranches 24, 26 and 48 months after his appointment. Keycorp's 2006 annual report shows that Mr Thompson was paid salary and fees of $403,067 and a $55,000 short term incentive bonus for the 12 months to June 30 last year. Dr Carr will continue to serve as a non-executive director of LongReach Group and has previously served as a director of Lucent Technologies Australia and Tata Lucent Technologies India.
Keycorp shares were up 0.5c to 39c in morning trading. The stock is down 51.6 per cent since February
KYC Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
