TBO.com - TBO is Tampa Bay Online

DuPont Veteran Kullman To Follow Holliday As Chief

ADVERTISEMENT

The Associated Press

Published: September 24, 2008

DOVER, Del. - DuPont Co. named Ellen Kullman as its chief executive Tuesday, replacing Charles Holliday Jr., who is stepping down after 10 years in which he shifted the company's focus toward biotechnology and away from basic chemicals.

Kullman, a 20-year veteran of DuPont, will become president and director Oct. 1 and chief executive officer Jan. 1. She eventually will succeed Holliday as chairman.

"Having transformed the company, increased our profitability and returns, and developed a talented and strong next generation of leaders, now is the right time to make a seamless transition to new leadership," Holliday said in a statement.

Kullman, 52, is executive vice president and a member of the company's office of the chief executive. She is believed to be the first female named CEO of a major U.S. chemical company.

"I'm not sure that being a woman adds or detracts from it. ... My managing style is unique to me, and I'm just really looking forward to continuing to drive our company's strategy," she said in a conference call with reporters.

Holliday, 60, who has been with the company for 38 years, said the decision to step down as CEO was "absolutely voluntary" and that it would have been tempting to stay around for a few more years.

"I could not be more pleased with the support I've had from the board," he said, adding that the company's strong position makes this the right time for a transition.

"You change the roof on the barn when it's not raining," he said.

Kullman said she wants to build on the strong science foundation DuPont has established during Holliday's tenure, including its focus on biotechnology, and to boost the company's presence in emerging markets.

"Without the science, we won't have the differentiation in the marketplace. ... It is what makes us who we are," she said.

Revenue in the company's safety and protection segment increased to $5.5 billion from $3.5 billion while she was group vice president from 2002 to 2006.

During Holliday's tenure, DuPont completed more than $60 billion in deals that have changed the company while bolstering earnings.

Kullman, a native of Wilmington, where DuPont keeps its headquarters, said one of the key challenges facing the company is fostering innovation while continuing productivity gains. She and Holliday both said the timing of Tuesday's announcement ties into its 2009 planning

"I need to own it, and I need to drive it," Kullman said.

Despite high raw material prices, DuPont set an earnings record for the first half of 2008 on the strength of its agriculture and nutrition segment and growth in emerging markets.

In July, strength in those businesses and regions helped boost second-quarter earnings 11 percent, offsetting weakness in domestic housing and auto markets.

The company reported a profit of $1.08 billion, or $1.18 per share, in the period, compared with profit of $972 million, or $1.04 per share, a year earlier. Revenue rose 12 percent, to $8.83 billion.

It also increased its earnings outlook for the year, but expects profit in the second half of this year to decline from a year earlier.

Share this:

Loading Comments...

Email Print

ADVERTISEMENT