Struggling Datum Replaces Longtime Chief Executive
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IRVINE — Datum Inc., reeling from its recent financial woes, said Tuesday that its longtime chief executive would be replaced by a veteran of the telecommunications products business.
Erik H. van der Kaay, 57, will become Datum’s chief executive and president on April 6. Louis B. Horwitz, who currently holds those positions, will remain with the company as chairman.
Datum, which makes equipment used to synchronize the information flowing through telephone networks, was riding high for much of last year but has suffered a series of setbacks in the last several months.
In January, it laid off 40 employees, or 6% of its work force, after its biggest customer, Lucent Technologies Inc., changed to a production system that forced Datum to delay shipments.
Last week, the company said it expects to report a first-quarter loss of 30 cents a share on sales of $20 million to $22 million because of reduced orders stemming from the Asian economic crisis. A year earlier, Datum earned 26 cents a share on $28.7 million in sales.
Datum’s stock has been punished by investors after hitting a peak of $49.50 a share last year. It closed Tuesday at $12.19 a share, down 13 cents, on the Nasdaq market.
Van der Kaay will join Datum from Allen Telecom Inc., a Beachwood, Ohio, supplier of wireless telecommunications products, where he is executive vice president. He has also worked for several other telecommunications and equipment companies.
Horwitz, 70, has run Datum since 1976. He said Van der Kaay’s appointment resulted from a long search for his replacement.
“He will bring to Datum a wide range of experience in many key areas with a well-rounded background in manufacturing, sales and marketing,” Horwitz said, adding that Van der Kaay’s experience in international markets “is central to our growth and expansion plans.”