Priceline president steps in as new CEO
The online service, which allows buyers to name their own prices for goods, announces that Richard Braddock is stepping down as CEO, with the company's president assuming the top spot.
Braddock, who came to Priceline two years ago from Citicorp, will remain as the company's chairman, with Daniel Schulman, 42, taking the role of CEO. Schulman, a former senior AT&T executive, joined Priceline last June as its president and chief operating officer.
Jay Walker, the company's founder and vice chairman, remains involved in directing the Priceline's overall strategic direction. Walker is also the founder and chairman of Walker Digital, a company that develops and patents Internet business methods and services.
The Norwalk, Conn.-based company allows customers to name their own prices for items ranging from airline tickets to groceries.
The executive shuffle comes at a time when Priceline--like many other e-commerce firms--is hovering around its 52-week low of $45.50, far below its high of $145.75. The stock slipped 50 cents, or about 1 percent, to $49.19 this morning.
In stepping down, Braddock, 58, said he had accomplished his primary responsibility as CEO: building a management team that will help Priceline become profitable.
"We now have in place a senior management team that is recognized as one of the strongest, if not the strongest, on the Internet," Braddock said.
Since he joined Priceline, Braddock has helped recruit Heidi Miller, Citigroup's chief financial officer, to become Priceline's CFO and senior executive vice president; Michael McCadden, from Gap, as the company's chief marketing officer; and Jeff Boyd, from Oxford Health, as general counsel.
Braddock said he will continue to work with Schulman to help the company achieve its business goals, including a revenue target of over $1 billion for the year 2000.
Last month, the company reported revenues of $313.8 million for the first quarter of 2000, a 535 percent increase over revenues of $49.4 million in the first quarter of 1999 and an 85 percent increase over revenues of $169.2 million in the fourth quarter of 1999.
Schulman spent 18 years at AT&T where he was an executive vice president of the company and president of its consumer markets division. He also was president of AT&T WorldNet and chief of marketing for AT&T's $24 billion business markets group.
With the executive changes, Miller will assume a few additional responsibilities at Priceline, including overseeing the company's international and business-to-business initiatives.
All executive changes take effect June 15.