Alexander Trotman,a Briton who had been head of worldwide auto operations,
was named the new chairman and CEO of the Ford Motor Co.,replacing Harold Poling,who is retiring.
A typical CEO of a FORTUNE 500 company
will have two to three gut-wrenching decisions a week to make.
Joseph Jannota,chairman of Jannota,Bray,a Chicago-based outplacement firm,
estimates that fewer than 25% of U.S.companies have completed the task of downsizing their work forces.
In an era of massive and painful corporate downsizing,
richly paid executives are out of step with the times.
Then buyouts and corporate downsizing in the 1980s created a huge exodus of workers from high-paying manufacturing jobs to less lucrative serivce-sector work.
To the north in Beijing,every block has its own office tower and luxury hotel under construction,
and everybody is an entrepreneur.
Robert Morgado,former chairman of Warner Music Group,made $7 million to $8 million annually,
and when he was fired last May he was given a platinum parachute that by some estimates was worth $60 million.
Kravis landed the company for $7.4 billion more than Johnson had initially offered,
and Johnson got to open a $53 million golden parachute and take a hike.
They acted when nervous depositors withdrew $800 million from the holding company's three major banks,including the flagship Bank of New England,
after the firm predicted a loss of up to $450 million for the fourth quarter of 1990.
To celebrate his victory in the hostile takeover battle for Trans World Airlines in August 1985,
corporate raider Carl Icahn donned a pilot's cap and uniform jacket
and paraded triumphantly around his Manhattan office.
The four Russians were interested in a joint venture with their guest of honor,a foreign businessman,
but had little desire to meet anywhere they could be seen by KGB types.
Many firms were driven out by the 1990 collapse of the proposed leveraged buyout of United Airlines,
which left arbitragers with more than $150 million in overpriced stock and no buyers.
The drivers took a 22% pay cut in 1987 when Greyhound officers acquired the company in a leveraged buyout and slashed costs to restore profits.
Macy is in bankruptcy,
and Federated hopes to convert the debt holdings into control of Macy by crafting a yet undisclosed reorganization plan.
As part of a reorganization plan that should enable the battered carrier to emerge from Chapter 11 bankruptcy protection early next year,Icahn agreed to provide $615 million in cash,loans and pension-fund guarantees.
To hear Silicon Graphics president Edward McCracken tell it,taking away the executive's most prized form of compensation-stock option-
would be nothing less than a disaster for American business.
Pepsi Co.now offers a special stock option plan to all its 100,000 full-time employees,
from senior managers to Frito-Lay truck drivers and Taco Bell chefs.
Within three hours of the decision,Time carried out its tender offer to pay $70 a share for 100 million of the more than 180 million Warner shares outstanding.