Alcatel-Lucent announces chairman Serge Tchuruk and CEO Pat Russo to step down
29 Jul 2008
Alcatel-Lucent today announced changes to its leadership and board of directors, saying non-executive chairman Serge Tchuruk has decided to step down on 1 October 2008, while CEO Pat Russo has decided to step down no later than the end of the year, but will continue until a replacement is found.
In a company statement, Tchuruk said, ''The merger phase is now behind us. I am proud that Alcatel-Lucent has become a world leader in a technology which is transforming our society. It is now time that the company acquires a personality of its own, independent from its two predecessors. The board must also evolve and the chairman should give the first example, which I have decided to do.''
''I am very pleased with the progress we are making especially in light of a difficult market environment,'' said Pat Russo. ''Our strategy is taking hold and our results are demonstrating good operational progress. That said, I believe it is the right time for me to step down. The company will benefit from new leadership aligned with a newly composed Board to bring a fresh and independent perspective that will take Alcatel-Lucent to its next level of growth and development in a rapidly changing global market.
"I have every desire to ensure a smooth transition of leadership within the company and I have informed the Board of my determination to work closely with them until the end of the year or sooner if a successor is named, and we are in agreement on this approach. I have great confidence in Alcatel-Lucent and believe this to be a company with tremendous potential,'' said Russo.
The statement said that the board is initiating a process to change its to a smaller group that will include new members.
Henry Schacht, the CEO of Lucent Technologies prior to Russo becoming CEO in January 2002, has announced his resignation from the board, on the grounds that being a former CEO, he should not remain beyond the transitional stage of the merger.
"Now that the company has moved beyond the transitional phase of the merger, the board has determined to restructure itself in a way consistent with the company's needs going forward," the statement said.
"As part of this process the board will reduce the size of its membership over time while adding several new members with strong industry expertise," it said.
