Seagate Replaces CEO, Plans Job Cuts
Category: Storage / Hard DrivesPosted: January 12, 2009 11:27AM
Author: Nemo
Seagate Technology announced its chairman, Stephen J. Luczo, will assume responsibility for the operation of the company, replacing William D. Watkins as the CEO. Luczo will continue his role as chairman and is scheduled to hold talks with Watkins over the course of the coming week to determine if there is a future role at Seagate for the former CEO. Luczo was formerly CEO until Watkins assumed those responsibilities in 2004 when Seagate split the CEO and chairman roles into two separate positions. Seagate has been suffering from the effects of reduced consumer demand and experienced setbacks in the 250- and 320GB notebook drive markets. In a separate interview at the recently concluded CES 2009 show, Brian Dexheimer, president of the company's consumer division said the company is planning on cutting roughly 10 percent of its workforce as part of a restructuring to be announced later this month. Seagate has 54,000 employees, the majority of whom are in the U.S. The news follows the announcement last month by Western Digital which plans to cut its total workforce by 2,500 employees.
