Monday, July 28, 2008

Alcatel-Lucent Chairman Serge Tchuruk and CEO Pat Russo Resign

Alcatel-Lucent announced the resignations of its non-executive Chairman Serge Tchuruk and CEO Pat Russo.

Specifically, Serge Tchuruk has decided to step down on October 1, 2008 and Pat Russo has decided to step down no later than the end of the year. At the Board's request, she will continue to run the company until a new CEO is in place to effect a smooth transition and maintain the continuity of the company's business.

The company's Board will commence a search for a new non-executive Chairman and CEO immediately. The Board is also initiating a process to change the composition of the Board to a smaller group that will include new members. Henry Schacht also announced that he will resign from the Board immediately believing that, being a former CEO, he should not remain beyond the transitional stage of the merger. Mr. Schacht was the CEO of Lucent Technologies prior to Ms. Russo becoming CEO in January 2002.

"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," said Serge Tchuruk.

"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.

  • Prior to the merger, Serge Tchuruk was Chairman and CEO of Alcatel, a position he held since 1995. Prior to joining Alcatel, from 1990 to 1995, Serge Tchuruk held the position of Chairman and CEO of Total, which he turned around into one of the world's leading oil and gas companies. From 1986 to 1990, Serge Tchuruk was Chairman and CEO of Orkem (previously called CDF-Chimie), a European chemical company involved in petrochemicals and specialty chemicals.

  • Prior to the merger of Alcatel and Lucent Technologies, Patricia Russo was Chairman and CEO of Lucent. She helped launch Lucent in 1996 and spent more than 20 years of her career managing some of Lucent's and AT&T's largest divisions and most critical corporate functions. She served as Lucent's CEO since January 2002. Before joining AT&T in 1981, Patricia Russo spent eight years in sales and marketing at IBM. Patricia also served as president and chief operating officer at Eastman Kodak Company before returning to Lucent as CEO.

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