IQE parts with two senior directors

The struggling microchip maker IQE is parting company with two of its senior directors as part of a restructuring prompted by spiralling losses.

Richard Clarke, the chief financial officer, and Scott Massie, the president of its US business, will resign at the end of this month. The move comes two days after the Welsh company saw more than a third wiped off its value as it plunged to a £58.1m half-year loss.

The company, which warned on Wednesday that the semiconductor marketplace continued to be "extremely challenging", described the resignations as "amicable".

A spokeswoman said: "Richard wasn't sacked, he just left because of the restructuring." She added that Mr Clarke, who received a remuneration package worth £105,000 last year, had found the one-and-a-half hour commute from his home in Cheltenham to IQE's Cardiff offices, "quite a slog". She would not comment on whether the two men would receive a pay off.

Analysts said that Mr Clarke had paid the price for not positioning the company better to cope with the downturn in the hi-tech sector.

Ulrich Pelzer, at Lehman Brothers, said the move was "a marginal positive [as] new people tend to have different ideas and different ways of tackling problems". But he added: "Even the best finance director cannot increase market demand."

IQE said Tim Hawkes, who joined the company in March as corporate development director, had been appointed acting finance chief, while Howard Williams, an employee of 13 years, would become acting general manager of the US subsidiary.

IQE, which said it has enough cash to fund it until 2005, has been hit by the collapse in spending by hi-tech companies, such as mobile phone groups and satellite positioning companies. Its shares, worth 217p last November, closed up 1.5p at 16.5p, valuing the company at just under £30m.

News
peoplePaper attempts to defend itself
Voices
voicesWe desperately need men to be feminists too
Life and Style
food + drink
Arts and Entertainment
British actor Idris Elba is also a DJ and rapper who played Ibiza last summer
film
PROMOTED VIDEO
News
ebooksAn unforgettable anthology of contemporary reportage
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

IT Project manager - Web E-commerce

£65000 Per Annum Benefits + bonus: Clearwater People Solutions Ltd: If you are...

Trainee / Experienced Recruitment Consultants

£20000 - £25000 per annum + OTE £40,000: SThree: SThree are a global FTSE 250 ...

Trainee Recruitment Consultant - Soho

£20000 - £25000 per annum + OTE £40000: SThree: As a Recruitment Consultant, y...

Trainee Recruitment Consultants - Banking & Finance

£20000 - £25000 per annum + OTE £40,000: SThree: SThree Group have been well e...

Day In a Page

Secret politics of the weekly shop

The politics of the weekly shop

New app reveals political leanings of food companies
Beam me up, Scottie!

Beam me up, Scottie!

Celebrity Trekkies from Alex Salmond to Barack Obama
Beware Wet Paint: The ICA's latest ambitious exhibition

Beware Wet Paint

The ICA's latest ambitious exhibition
Pink Floyd have produced some of rock's greatest ever album covers

Pink Floyd have produced some of rock's greatest ever album covers

Can 'The Endless River' carry on the tradition?
Sanctuary for the suicidal

Sanctuary for the suicidal

One mother's story of how London charity Maytree helped her son with his depression
A roller-coaster tale from the 'voice of a generation'

Not That Kind of Girl:

A roller-coaster tale from 'voice of a generation' Lena Dunham
London is not bedlam or a cradle of vice. In fact it, as much as anywhere, deserves independence

London is not bedlam or a cradle of vice

In fact it, as much as anywhere, deserves independence
Vivienne Westwood 'didn’t want' relationship with Malcolm McLaren

Vivienne Westwood 'didn’t want' relationship with McLaren

Designer 'felt pressured' into going out with Sex Pistols manager
Jourdan Dunn: Model mother

Model mother

Jordan Dunn became one of the best-paid models in the world
Apple still coolest brand – despite U2 PR disaster

Apple still the coolest brand

Despite PR disaster of free U2 album
Scottish referendum: The Yes vote was the love that dared speak its name, but it was not to be

Despite the result, this is the end of the status quo

Boyd Tonkin on the fall-out from the Scottish referendum
Manolo Blahnik: The high priest of heels talks flats, Englishness, and why he loves Mary Beard

Manolo Blahnik: Flats, Englishness, and Mary Beard

The shoe designer who has been dubbed 'the patron saint of the stiletto'
The Beatles biographer reveals exclusive original manuscripts of some of the best pop songs ever written

Scrambled eggs and LSD

Behind The Beatles' lyrics - thanks to Hunter Davis's original manuscript copies
'Normcore' fashion: Blending in is the new standing out in latest catwalk non-trend

'Normcore': Blending in is the new standing out

Just when fashion was in grave danger of running out of trends, it only went and invented the non-trend. Rebecca Gonsalves investigates
Dance’s new leading ladies fight back: How female vocalists are now writing their own hits

New leading ladies of dance fight back

How female vocalists are now writing their own hits