High Turnover Turns Off Wall Street.
Heid's arrival left long-time Iomega analyst Howard Rosencrans unmoved: "Werner Held? Who's that?"
Rosencrans, senior security analyst at HD Brous & Co. in Great Neck, NY, sees challenges ahead for Heid: "Iomega's going to go bankrupt, so if somebody wants to hang around and pick up a big paycheck, they can, but [Iomega is] going to go out; they're not a survivor."
Heid thinks differently, having vetted the company before taking the top post. "I was very aware of the challenges ahead when I took this job. It will take a dramatic restructuring, but Iomega has a good brand name and a large installed base of users. The history of high turnover is there, but it wasn't a consideration for me."
Iomega isn't the only company churning CEOs. A number of others are growing weary of restocking their corporate stationery every time a CEO leaves. These include Lucent, which was still looking for a CEO to replace its interim leader at press time, and Hercules Inc., which is doubtless hoping its latest CEO William Joyce--its third in 15 months--sticks around long enough to justify the new business cards; or better yet, say industry observers, sell off the indebted company.
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|Title Annotation:||Werner Heid new CEO of IOMEGA Corp.|
|Publication:||Chief Executive (U.S.)|
|Article Type:||Brief Article|
|Date:||Aug 1, 2001|
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