Rockwell Collins [COL] last Friday said that Clay Jones, the company’s chairman and CEO, will retire at the end of July and will be succeeded as CEO by Kelly Ortberg, the company’s president.
“This decision was made as part of a carefully orchestrated succession planning process that has been implemented over the past several years,” Jones, 64, said in a statement. “Our focus on developing talent has ensured Kelly is well-prepared to assume this new responsibility. Kelly has played an instrumental role in shaping our company’s strategy and has demonstrated the ability to deliver results even in the most challenging environments.”
Ortberg became president of Rockwell Collins in September 2012 and previously headed the company’s Government Systems segment. He has also led the company’s Commercial Systems segment.
Jones joined the former Rockwell International in 1979 after serving in the Air Force as a fighter pilot. He became CEO of Rockwell Collins in 2001 and chairman in 2002. Jones will remain on the company’s board of directors as non-executive chairman.
Separately on Friday, Rockwell Collins reported second quarter FY ’13 financial results, with net income level compared to a year ago at $161 million despite a 3 percent decline in sales to $1.1 billion from $1.2 billion. Earnings per share were up to $1.17 versus $1.09 a year ago as stock repurchases lowered the company’s outstanding share count.
Lower sales in the Government Systems business were partially offset by an increase in business at Commercial Systems.
For the rest of its fiscal year, Rockwell Collins still expects sales of between $4.6 billion and $4.7 billion and earnings between $4.45 and $4.65 EPS.