Motorola begins management shake-up

The company says it is to report a first-quarter loss because of weaker-than-expected revenue from its mobile division. Chairman and CEO Ed Zander dubbed the performance "unacceptable".

Finance chief David Devonshire, 61, has been asked to fall on his sword and will retire from the position. He will be replaced by Thomas Meredith, 56. Ageless Greg Brown, president of the company's networks and enterprise business, will take over the vacant posts of president and chief operating officer.

Zander said that the company was committed to restoring profitability to the mobile phone division. However he warned that even after heads rolling, it will take some time to get the business back on track.

Motorola said it will buy back more of its lagging stock, accelerate $2 billion of share repurchases and increase the size of its current share repurchase program to $7.5 billion.

Maybe that'll help. µ