Jeffrey Skilling Resigns from Enron
Enron announced that its Board of Directors has accepted the resignation of Jeffrey K. Skilling as Enron's President and CEO. Skilling will continue to serve as a consultant to Enron and its Board of Directors. Kenneth L. Lay, currently Enron's chairman of the board, will assume the additional responsibilities of president and CEO and has agreed to extend his employment agreement with the company through the end of 2005.
"I am resigning for personal reasons. I want to thank Ken Lay for his understanding of this purely personal decision, and I want to thank the board and all of my colleagues at Enron," said Skilling.
"We regret Jeff's decision to resign, as he has been a big part of our success for over eleven years," said Lay. "But, we have the strongest and deepest talent we have ever had in the organization, our business is extremely strong, and our growth prospects have never been better."
Lay served as Enron's CEO from 1985 until Skilling's election earlier this year. Lay transformed Enron from a regional natural gas pipeline company to one of the largest and most respected companies in the world. Over his fifteen years as CEO, Enron's market capitalization increased from $2 billion to $70 billion and Enron's shareholders received a total return three times that of the S&P 500.