PRES. TIG KREKEL LEAVES BOEING WITHOUT EXPLANATION
Boeing Satellite Systems confirmed Thurs. Pres. Tig Krekel resigned without warning, spokesman said. Krekel’s top aide, Exec. Vp Joseph DeSarla, also left company for personal reasons, Boeing said. Krekel has been credited with improving operations and growth of satellite company in volatile marketplace plagued by sagging investor confidence, consolidation and stringent export controls that have hampered U.S. satellite operators. Boeing spokesman didn’t say why 2 top officials left and neither was available for comment. There also was no indications of their plans.
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Resignations came just 5 months after Boeing takeover of former Hughes company in $7.5 billion transaction. When sale occurred, Boeing management went out of its way to praise Hughes’s Krekel and holdover management staff, calling them “some of the brightest people” in space industry. There had been no noticeable dropoff in performance as Boeing unit delivered 15 satellites, signed $1.3 billion Air Force contract and projected 15% revenue growth for 2000 based upon increasing demand for new 702 model jumbo satellite.
Boeing spokesman said Krekel and DeSarla would be placed on “special assignment” under management of Boeing Space & Communications Pres. James Albaugh. Former NASA official Randy Brinkley was tapped as temporary successor to Krekel. Sources said departures might be result of differences in style between holdover Hughes management and Boeing. Boeing is said to operate in less “rigid structure” and top managers are “easy-going” while Krekel is more “old-line” and aggressive in his approach. However, Albaugh said that despite resignations, Boeing was “committed to continuing the path” Krekel help chart.