Symantec fires CEO, chairman is replacing him

Wednesday - 7/25/2012, 4:06pm EDT

MOUNTAIN VIEW, Calif. (AP) - Symantec has fired its CEO, Enrique Salem, and replaced him with Chairman Steve Bennett.

The computer security and data storage company said Wednesday that the move is effective immediately. Bennett, who will stay on as chairman, says it was in Symantec's "best interests" to change CEOs.

Salem had been with the company for 19 years and was CEO for the past three years. Symantec says Salem's departure was not because of a particular event or any impropriety, but that the company has healthy assets yet is "underperforming against the opportunity."

Symantec also said Wednesday that its fiscal first-quarter net income fell 10 percent, hurt by restructuring costs and a stronger dollar. Symantec also spent more investing in technology. A rising dollar means money earned outside the U.S. takes a hit when it's translated back into the dollar.

The company earned $172 million, or 24 cents per share, in the April-June period. That's up from $191 million, or 25 cents per share, a year earlier.

Revenue rose 1 percent to $1.67 billion.

Adjusted earnings were 43 cents per share in the latest quarter.

Analysts, on average, were expecting earnings of 38 cents per share on revenue of $1.65 billion, according to a poll by FactSet.

For the current quarter, Symantec is forecasting revenue of $1.64 billion to $1.67 billion. It expects adjusted earnings of 35 cents to 39 cents per share.

Analysts are expecting profit of 40 cents per share and revenue of $1.69 billion.

The Mountain View, Calif., company's stock rose $1.79, or 13.5 percent, to $14.96.

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