Micron CFO announces retirement as job cuts loom, capex shrinks

By Colleen Taylor, Contributing Editor -- Electronic News, 7/2/2007

Troubled memory technology maker Micron Technology Inc. today announced that Wilbur G. Stover, Jr., the company's VP of finance and CFO has informed Micron that he will retire after the completion of Micron's current fiscal year.

Stover joined Micron in 1989 and has served as CFO since 1994, managing the company's financial, administrative and information systems operations.

"Bill has been a great contributor to Micron's growth and success for many years," Steve Appleton, Micron's chairman and CEO, said in a statement. "We will miss his leadership and guidance."

The company said it will begin an international search for Stover's replacement. Stover will continue to oversee financial matters until a transition is accomplished.

The CFO's departure only adds turbulence to the rough waters the Boise, Idaho-based company has been navigating for some time now. Last week, the company reported a loss of $225 million on sales of $1.3 billion for its fiscal Q3 ended May 31, largely chalking up its performance to pricing declines on memory products. 

As a result of the company's lackluster Q3 performance, Appleton said in a conference call on Thursday that the company would soon enact an unspecified number of job cuts. "We expect to have lower levels of employment," Appleton said, without disclosing further details.

Micron is cutting back in other ways, as well: Also on the conference call, the company said it expects to spend $2.5 billion in fiscal 2008 -- a significant drop from the $4 billion capex the company budgeted for the current fiscal year.

Further adding to the mounting changes at Micron, Appleton last week relinquished his role as president of the company to COO Mark Durcan.