Inprise Corp said it has named Dale Fuller as interim president and chief executive, replacing Del Yocam, who was forced to resign on March 31. The Scotts Valley, California-based provider of development tools, middleware and systems management software also warned that first-quarter results would be far worse than expected.
Fuller comes to Inprise having most recently served as president and CEO of internet property WhoWhere? Inc, before it was acquired by Lycos Inc last year. Inprise has now admitted that it had requested Yocam’s resignation because of philosophical differences regarding the company’s growth strategy.
Previously, Fuller worked at Apple Computer Inc, most recently as VP and GM of the Powerbook business unit. Before that, he was with NEC Technologies Inc as VP and GM of portable computer systems. Inprise says the board is also conducting a search for a new chief financial officer and has retained an executive search firm to fill the position vacated by Kathleen Fisher, who was asked to leave along with Yocam.
The strategy in question for Inprise still appears to involve the previously-announced plan of splitting the company in two. The board says it is currently evaluating the potential benefits of separating into two independent companies, Inprise and Borland.com, and has retained investment bank Hambrecht & Quist to advise it on the matter. The review is expected to be completed in the current quarter but no word was given on how soon after that any action would be taken.
For the time being, Inprise warned it will report first-quarter results far below current analyst expectations of a break-even bottom line. It is projecting a net loss of $0.54 to $0.56 per share, which includes one-time charges of $0.33 to $0.35 per share for severance costs, restructuring charges and compensation expenses related to its InterBase subsidiary. Charges aside, that still shows a shortfall of more than $0.20.
What’s worse, the board now expects to report a loss for the full year and believes that increased investment will be needed if there is to be any sustainable long-term growth for the company. Inrpise shares barely responded to the mixed news, retreating $0.125 to close at $3.25 on Wednesday.
