Sunnyvale, Calif.—Yahoo Inc. ousted CEO Carol Bartz on Tuesday. The board named Timothy Morse interim CEO and initiated a search for a permanent successor. Morse will continue in his duties as CFO at Yahoo.
“We are committed to exploring and evaluating possibilities and opportunities that will put Yahoo on a trajectory for growth and innovation, and deliver value to shareholders,” said Roy Bostock, chairman of the Yahoo board, in a statement. “On behalf of the entire board, I want to thank Carol for her service to Yahoo during a critical time of transition in the company's history, and against a very challenging macroeconomic backdrop.”
Bartz took over as CEO in January 2009. On her watch, the company faced continued competition from Facebook and Google; reached an agreement with Microsoft Corp. for Bing to power search on Yahoo; completed several rounds of layoffs; and sparred with Alibaba over the disputed sale of Alipay in China. In early trading on Wednesday, Yahoo's share price increased 6.2% to $13.71.