WorldCom names Capellas CEO

WorldCom confirmed today that Michael D. Capellas has joined as chairman and CEO of the company and will take over December 2. Capellas, who stepped down as president of Hewlett Packard, also served as chairman and CEO of Compaq before its merger with HP.

An energetic Capellas said in a news conference this morning that his top priorities will be taking care of customers, restoring the company’s integrity and reenergizing employees. So far WorldCom has admitted to $9 billion in accounting fraud and is claiming $41 billion in debt through its bankruptcy proceedings.

“It [will be] customers first, customers first, customers first. If you didn’t hear that then go back to number one,” Capellas said. “I’m a great believer in this company and have known it for decades. It has great assets and a loyal customer base.”

Capellas noted that even though he does enjoy challenges, the company “has a really great future”.

As CEO he doesn’t plan to ransack the management team although he will add a few people where necessary.

“He brings to us seasoned experience and a clean sheet of paper,” said current CEO John Sidgmore, who will return to the vice chair position he held previously. “He will have full support from the board of directors and from me.”

In addition to his ability to move the company forward both operationally and technologically, Capellas was selected because of his reputation in the CIO community, according to Sidgmore.

“He knows many, if not most, of our largest customers,” said Sidgmore.

As CEO Capellas plans to develop a customer advisory board and further leverage his connections within the CIO “fraternity” as he called it.

“I’m going to go out and talk to them. There’s nothing like personal touch and a lot of attention to detail,” Capellas said.