Thursday, 18 October 2012

Carol Bartz Yahoo CEO Nearly 3 Years

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Carol Bartz Yahoo CEO Nearly 3 Years, Carol Bartz Yahoo CEO Nearly 3 Years, Yahoo states leadership reorganization in firing of bartz---Carol Bartz was fired Tuesday as Yahoo Inc.'s CEO nearly three years into a tenure in which the company fell short of the turnaround she was charged with leading.

The company said Bartz will be replaced by Chief Financial officer Timothy Morse on an interim basis. The company plans to search for a permanent replacement for Bartz. Yahoo boss Carol Bartz has been fired as the company's chief executive after the ailing internet firm lost further ground to main rival Google.


Miss Bartz, who was axed by phone, has had a rocky tenure lasting nearly three years punctuated by stagnating growth and a bitter row with one of the firm's Chinese partners. The 63-year-old CEO, who was hired despite a lack of internet or advertising experience, told Yahoo employees that she was fired by Yahoo's chairman of the board, Roy Bostock.

Most recently, Yahoo have settled a payment dispute with China's Alibaba Group, in which Yahoo holds a 40 per cent stake. Miss Bartz has also had to watch as Yahoo loses further ground as an internet domain to all-conquering Google, while also facing strong competition from other social networks like Facebook.

She announced her departure to employees via a two-sentence email from her iPad which read: 'I am very sad to tell you that I've just been fired over the phone by Yahoo's Chairman of the Board. 'It has been my pleasure to work with all of you and I wish you only the best going forward.'

The California-based company has appointed chief financial officer Timothy Morse as CEO on an interim basis, but plans to search for a permanent replacement for Miss Bartz. At its peak in 2000, Yahoo shares traded for $125. Last night they closed at $12.91. Yahoo lost further ground in the race against Google during Miss Bartz's tenure, despite actually making more money through layoffs, service closures and other cost-cutting moves.

Last year Yahoo's revenue edged up by just two per cent in the first nine months of the year, while Google's climbed by 23 per cent in the same period. In April the same year, the straight-talking boss candidly admitted that she 'could have done better' in her job, by which time speculation around her position was already growing.

Facebook has also become another serious competitor for Yahoo by attracting the major marketing partners which once went to Yahoo during the dotcom boom in 2000. The firm was forced to lay off more than 600 staff - around five per cent of its workforce - last year due to lacklustre growth.

The departure was first reported by the Wall Street Journal's All Things D technology blog. Yahoo shares jumped 74 cents, or 5.7 per cent, to $13.65 in after-hours trading, around 12 per cent higher than they were when Miss Bartz was named chief executive.

In recent months speculation has mounted over various companies wanting to either take over Yahoo or invest and split into parts. News Corp, AT&T, and Verizon had all been linked with a move to buy the firm out, with Yahoo's cooperation. Miss Bartz had joined Yahoo as the firm's CEO after 17 years at design software company Autodesk.

Roy Bostock, chairman of the Yahoo board, had publicly backed Bartz earlier this year, but has since decided to let her go after the firm posted more disappointing financial results. Mr Bostock said: 'The board sees enormous growth opportunities on which Yahoo! can capitalize, and our primary objective is to leverage the Company's leadership and current business assets and platforms to execute against these opportunities.

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