CA interim CEO takes new job

Computer Associates' interim CEO Kenneth Cron has taken a new job as chairman of the board at games company Midway Games.

The move is the latest in an increasingly complex string of changes at the top for the US software giant - although it is claimed Cron's position with Midway will not interfere with his caretaker role at CA.

Lewis S. Ranieri, CA chairman, said: "CA fully supports Ken Cron's election as the non-executive chairman of Midway Games and believes it speaks strongly to his abilities as a business leader. His role at Midway does not have any impact on his responsibilities at CA where he is the company's full-time CEO."

"As we previously said, Ken is committed to stay in that position until a permanent CEO is hired," added Ranieri.

The move reflects a return to his roots for Cron, whose previous positions have largely been in the computer games industry. Prior to joining CA he worked as CEO of Vivendi Universal Games and held the same position at another Vivendi division, Flipside Network, which he joined through the acquisition of previous employer Uproar - another computer games company.

The fact Cron has such a strong CV, suited to the games industry, made some question his appointment at CA as interim CEO following the departure of Sanjay Kumar amid investigations into accounting irregularities.

However, Ranieri said in a statement: "We cannot be more pleased with Ken's performance during his initial days here."

Kumar was demoted to the position of chief software architect - though he held that post for little more than six weeks before leaving the company altogether.

The ongoing SEC and DoJ investigations have seen a number of heads roll at CA and a number of new faces brought in. But the upheaval will have done little to settle shareholder unrest in some quarters, most clearly embodied by the machinations of Ranger Governance - a shareholder group led by Sam Wyly who spearheaded failed management coups in 2001 and 2002.

Late last week Ranger Governance wrote a letter to Kenneth Cron announcing that it is considering "a shareholder derivative suit" against the company, with a view to recovering around $1bn.

A statement from CA on the matter said: "CA's board of directors is continuing to review the matter of compensation given or due to the individuals subject to the government investigation."