Michael E. Marks, CEO of IT manufacturing giant Flextronics
, will step down Jan. 31, 2006, the company announced at its
annual analyst and investor meeting in San Francisco.
He will be succeeded by COO Michael McNamara, who has held senior posts at
Flextronics for 11 years.
Marks “has been the visionary for a company that 10 years ago provided only
contract manufacturing solutions to a company that today provides full
product design with vertically integrated manufacturing and logistics
solutions,” Richard Sharp, Flextronics chairman, said in a statement.
After he leaves the top job, Marks will stay on as chairman, said Sharp, who
also will retain a seat on the board of directors.
The leadership change comes as the company examines its strategy and
weighs divestitures, IPOs and spin-offs for some of its subsidiaries.
For example, Flextronics said it will merge its Flextronics Network Services
unit with Telavie, a subsidiary of private equity investor Altor. Under the
proposal, Flextronics will receive an undisclosed cash payment and a 30
percent stake in the combined company.
Flextronics is based in Singapore, but has major operations in San Jose,
Calif. In all, it has facilities in 32 countries and five continents. In
fiscal 2005 it tallied nearly $16 billion in revenue.
It designs and manufactures equipment and components for many big IT names.
Last year the company inked a mega-contract with network gear specialist Nortel. It is also making Microsoft’s
Xbox gaming console from its China plant.