Former ITT Corp chairman, president and CEO Steve Loranger will lead Xylem while the board of directors conducts its search for the company’s next CEO.
Loranger was in charge of ITT when the company spun off its water businesses as Xylem in October 2011. He is currently a director of Xylem.
“Steve is an industry veteran who is quite familiar with Xylem’s business. He knows the challenges we are facing and understands the tremendous potential of this business,” said Markos Tambakeras, chairman of the Xylem board. “He is well suited to provide the leadership Xylem needs to transition smoothly to the next stage of its evolution. We are determined to refine and sharpen our strategic focus in order to position the company for growth in our dynamic industry.”
McClain has been CEO of Xylem since it became a stand-alone company in 2011. She had previously served as president of ITT’s Fluid and Motion Control division.
“On behalf of the entire board, I would like to thank Gretchen for her dedication and leadership as the CEO of Xylem. Gretchen has guided the company since its spin-off from ITT and has been an important member of the Xylem management team. We wish her the very best in her future endeavours,” said Tambakeras.
Xylem posted lower than expected second quarter results in July 2013, with revenues of US$960 million down 0.6% on the year earlier, while net income fell 48.3% on the 2012 figure to US$46 million.
Xylem’s full-year revenues are expected to be around US$3.7 billion, with adjusted net income of US$260 million–279 million.