Lucent dumps its CEO

Go and stand over there where we can't see you...

Ailing telecom equipment vendor Lucent has replaced its CEO as part of an ongoing plan to bring the company back to health.

Lucent's 2002 detox plan started with the departure of veteran Henry Schacht in favour of Patricia Russo, former president and COO at Eastman Kodak.

Russo, who has a long history at Lucent, is widely credited as the woman who helped the AT&T spin off in 1996 before she left for a five-year stint at Eastman Kodak.

2001 was a bumpy year for the troubled telecom vendor. It was forced to go cap in hand to the banks and renegotiate a $4bn loan when its restructuring costs spiralled to $8bn.

Further cash was raised by issuing shares, selling off its Israeli interests for $4.5bn and its venture capital business reportedly for $100m.