Bloomberg News

Microsoft Shares Rise as Profit Boosted by Business Sales

May 03, 2012

Microsoft Corp. (MSFT:US), the largest software maker, expanded the number of directors on its board to 11 with the addition of Seagate Technology Plc (STX:US) Chief Executive Officer Stephen Luczo, whose expertise includes finance and data storage.

Luczo has been CEO of the world’s largest maker of disk- drives since 2009, his second stint in that role, Redmond, Washington-based Microsoft said in a statement. He has also joined the audit committee. Existing board member John Thompson joined the compensation committee, replacing Netflix Inc. (NFLX:US) CEO Reed Hastings.

Luczo brings experience in helping companies store and manage data, and his finance background includes a stint as a managing director at investment banking firm Bear Stearns & Co., Microsoft said. The appointment follows the February appointment of Thompson, the former chairman and chief executive officer at Symantec Corp. (SYMC:US) That added security expertise as the company aims to expand in mobile devices, such as tablets and smartphones.

The board has been closely monitoring the performance of Chief Executive Officer Steve Ballmer in these areas, giving Ballmer half of his maximum allowed bonus in 2010 and 2011, citing issues such as market-share losses in phones.

Microsoft fell less than 1 percent to $31.76 at the close in New York.

To contact the reporter on this story: Dina Bass in Seattle at dbass2@bloomberg.net

To contact the editor responsible for this story: Tom Giles at tgiles5@bloomberg.net


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Companies Mentioned

  • MSFT
    (Microsoft Corp)
    • $46.88 USD
    • 0.20
    • 0.42%
  • STX
    (Seagate Technology PLC)
    • $58.49 USD
    • -1.30
    • -2.22%
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