SOUTHFIELD, Mich. (July 11, 2003) — Federal-Mogul Corp.'s board has appointed Charles G. (Chip) McClure, 49, as the company's chief executive officer and president, effective July 11, while former CEO Frank E. Macher, 62, will continue as board chairman.
The Southfield-based company said Mr. McClure's move from president and chief operating officer to CEO and president is consistent with the succession plan it announced Jan. 11, 2001, when both he and Mr. Macher joined Federal-Mogul, a global supplier of automotive components, modules, sub-systems and systems serving original equipment manufacturers and the aftermarket.
“I am very pleased with the appointment of Chip McClure to succeed me as CEO and look forward to continuing our strong professional relationship,” Mr. Macher said in a prepared statement. “Together, we have significantly improved business results, strengthened customer relations and developed a strategic plan to competitively move this company forward.”
He also said he welcomed the opportunity as chairman to help guide the company toward a resolution of the asbestos issues—including lawsuits—that forced it into bankruptcy. “I look forward to the day we emerge as one of the pre-eminent automotive suppliers with a strong balance sheet ready to capitalize on our innovative products and technologies for future growth,” Mr. Macher added.
The company has been operating under Chapter 11 bankruptcy protection since October 2001, and in April filed its reorganization plan with the Bankruptcy Court for the District of Delaware. It had filed for Chapter 11 protection to shield itself from mounting asbestos claims—liabilities it acquired when Federal-Mogul bought British auto supplier T&N P.L.C. in 1998.
At the time it filed its reorganization plan, Federal-Mogul said it expected to emerge from Chapter 11 some time this summer.
Founded in Detroit in 1899, Federal-Mogul today employs 47,000 people in 25 countries.