Walsh out at Global Crossing

New Global Crossing CEO John Legere, the company’s fifth chief executive since 1998, is wasting no time putting his stamp on the ailing carrier. In a management shakeup designed to simplify the company’s corporate structure, Legere ousted president and chief operating officer David Walsh and eliminated the position.

“It is imperative that we organize senior management in a way that elevates the roles of sales and marketing as well as product development and management.” Legere said in a statement.

In media interviews, Legere indicated the move was a result of the company’s poor performance in the third quarter. Global Crossing is now projecting cash revenue of $1.2 billion and recurring adjusted EBITDA of “significantly less” than $100 million for the third quarter.

As part of the senior management reorganization, Peg Lockwood was named vice president of business sales and marketing and Patrick Joggerst was named executive vice president of carrier sales and marketing. Both will report to Legere.

Global Crossing shares were up slightly in midday trading, although prices are at or near historical lows.

--Vincent Ryan, business editor