CLARK IS CAPSTONE'S NEW CFO.

Byline: Evan Pondel Staff Writer

CHATSWORTH - Capstone Turbine Corp. named Karen Clark chief financial officer Wednesday, filling a significant void as the microturbine manufacturer leaves behind a fiscal year fraught with imperfections.

``But I'm not concerned with this and I've been in challenging situations before,'' she said.

Clark, 41, assumes the post formerly held by Jeffery Watts, who resigned last month amid unmet projections in the third quarter. Analysts said the company had proposed selling close to 400 units of its microturbines, but had ended up shipping 80 units.

The company also faces a class-action lawsuit on behalf of Capstone shareholders, alleging that the firm and underwriters violated federal securities laws during its initial public offering. The lawsuit involves shareholders who purchased or sold stock between June 28 and Dec. 6, 2000.

Despite a morass of litigation and a shaky third quarter, Clark said she's not going to let an imperfect past impede Capstone's future.

``For me, I'm very strategic and operationally oriented.'' she said. ``And I expect to continue to bring those traits to this job.''

In Clark's former post, she served as senior vice president and CFO of PacifiCorp, a Portland, Ore.-based electric utility service provider. In fiscal 2001, PacifiCorp saw revenues of $5 billion.

Before PacifiCorp, Clark was senior vice president of finance for Sunbeam Corp., a Boca Raton, Fla.-based appliance maker. Clark joined Sunbeam through the acquisition of The Coleman Co. Inc.

With Clark's credentials steeped in organizing company finances, analysts are confident she is the right fit for the job.

Marko Pencak, an analyst with CS First Boston in Toronto, said though it is a little early to formulate an opinion of Clark, she has relevant experience.

``I'm very encouraged and Capstone's been able to attract the right people,'' Pencak said. ``And I think when a company is undergoing a lot of change there is an opportunity for things to improve.''

Even though Clark will be integral to rejuvenating the company, Pencak said Capstone has already made several moves in the right direction.

In October, Capstone appointed Norman Chambers to a newly created chief operating officer position. Chambers oversees many of the the new sales and marketing organizational changes.

``With a new team, the company is certainly able to pull itself up,'' Pencak said.

But from the stock's perspective, the company has a lot of room to make up.

Capstone shares, which once reached as high as $100, have rapidly receded in the past year. Capstone declined 20 cents Wednesday, or 4.34 percent, to $4.41.

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Photo:

(color) Karen Clark, new chief financial officer for Capstone Turbine Corp., is dwarfed by two of her company's products. The new CFO was named Wednesday to rejuvenate the flagging firm.

David Sprague/Staff Photographer