Archive notice: This article was originally published on July 17, 2007. Links and embedded videos are preserved as part of the historical record.
The Supervisory Board of Avid Technology announced today that the previous President and CEO David Krall will relinquish his positions at the end of July. On an interim basis, Nancy Hawthorne, Supervisory Board member and former Chairwoman of the Supervisory Board, takes over the position of CEO. The search for a new CEO begins immediately. The company did not give reasons for Krall’s departure. During the transition period, he will continue to advise Avid, according to a statement.
“Avid Technology has grown incredibly strongly in recent years as a result of the introduction of new technologies and strategic acquisitions. Avid has greatly expanded its product portfolio and consolidated its market share in adjacent digital-content-creation markets,” says Krall, who had already held the positions of President, CEO and Supervisory Board member for seven years. “For 20 years, Avid has now supported its customers in the creation and distribution of the world’s most demandng media and there are a multitude of opportunities to expand in this increasingly complex market – but now is the time for new leadership. I am very proud that I was able to help make Avid a leading technology and service provider that plays a significant part in shaping the world of digital media and entertainment. I would like to thank every Avid employee, every customer, every shareholder and business partner for their contribution to Avid’s business success.”
“David was not only significantly involved in the transformation of Avid Technology’s business felds, but also kept Avid as a company at the forefront of the market”, current Chairwoman of the Supervisory Board Pamela Lenehan says: “Among other things, he supported the company’s efforts to secure the postproduction sector and further expand the company’s position as market leader in broadcast news production. In addition, David expanded the Audio Division through market expansion and product development and also took the first step toward the consumer video and audio market through various acquisitions. We thank him for his commitment and loyalty to Avid and for David having created a foundation on which the company can build its future with expectation.”
Hawthorne, who currently holds the position of CEO of the financial-consulting and investment company Clerestory LLC, has been a Supervisory Board member at Avid since 1997 and worked closely with Krall and Avid’s top-management team as the company expanded its business fields and more than doubled revenue over the past five years. “Nancy’s knowledge of the daily business at Avid as well as her strong financially oriented background and her extensive expertise in dealing with large companies will be very useful during the transition phase,” Lenehan says. “We are very pleased to have found a suitable person in Nancy for this transition period until the search for a new CEO is complete.”
Hawthorne held the position of Chief Financial Officer at Continental Cablevision from 1992 to 1996. In doing so, she bore responsibility for treasury, mergers and acquisitions, investor relations, accounting and also oversaw the company’s financial strategy and Capital Markets Activities. After the merger of Continental Cablevision with US West Inc., she became Executive Vice President of the merged company MediaOne.
Avid, which once again confirms its revenue target for Q2 of 220 to 230 million US dollars and non-GAAP EPS of 0.15 to 0.20 US dollars, plans to publish its quarterly balance sheet for the second quarter of 2007 (end: June 30, 2007) on Thursday, July 26, 2007.
