Gateway Inc. announced Thursday that J. Edward Coleman will become CEO starting Sept. 18. Coleman, 54, most recently served Arrow Electronics Inc. as senior vice president and president of Arrow Enterprise Computing Solutions. He replaces Rick Snyder, who has served as interim CEO since February, when Wayne Inouye resigned from the post.
Snyder will remain as chairman of the board.
Shares in Gateway Inc., the third-largest personal computer maker in the United States, rose in early trading Friday.
Arrow Electronics said M. Catherine Morris will serve as acting president of Arrow Enterprise Computing Solutions while the company searches for a permanent successor.
Gateway's share price has languished amid fierce competition and a struggle to sell its gear to businesses as well as to customers over the Internet and the phone. Its consumer retail operation, however, has fared much better, accounting for 64 percent of the company's second-quarter revenue.
Gateway said last week it rejected an unsolicited $450 million bid for its retail business from eMachines Inc. founder Lap Shun Hui. Gateway said the Aug. 23 offer for the retail operations is not in the best interest of its shareholders.
In March 2004, Gateway bought eMachines from Hui for $290 million in cash and stock. Less than a month later, Gateway closed its retail stores and adopted eMachines' strategy of selling through big-name retailers such as Best Buy Inc., Circuit City Stores Inc. and Wal-Mart Stores Inc.
