Intel Corporation issued a press release Monday stating that the company's current President and CEO, Mr Paul Otellini, will retire from his role at Intel next year during the company's annual stockholders' meeting scheduled to be held in May.
Otellini has served Intel for 40 years. During his eight-year tenure as CEO from 2005 to 2012, he reportedly helped Intel increase its quarterly dividends from US$0.08 to US$0.225 while raking in cash profits of approximately US$107 billion. Otellini is likely to remain as an advisor to Intel's management following his exit at the helm. According to Bloomberg's report, Otellini took the company's board of directors by surprise with the impromptu announcement of his retirement plans last week.
"Paul Otellini has been a very strong leader, only the fifth CEO in the company’s great 45-year history, and one who has managed the company through challenging times and market transitions," said Andy Bryant, Chairman of the board. "The board is grateful for his innumerable contributions to the company and his distinguished tenure as CEO over the last eight years."
"I’ve been privileged to lead one of the world’s greatest companies," said Otellini. "After almost four decades with the company and eight years as CEO, it’s time to move on and transfer Intel’s helm to a new generation of leadership. I look forward to working with Andy, the board and the management team during the six-month transition period, and to being available as an advisor to management after retiring as CEO.
Both internal and external candidates will be considered for Otellini's successor. The 62 year-old joined the Santa Clara company after graduating from the University of California and worked his way up the corporate ladder before succeeding Craig Barrett in May 2005 as CEO.
Besides his impending departure, the firm also announced the promotion of three senior staff to the position of Executive Vice President.
They include Renee James, Head of Intel’s software business; Brian Krzanich, Chief Operating Officer and Head of Worldwide Manufacturing; and Stacy Smith, Chief Financial Officer and Director of Corporate Strategy.