DOW JONES NEWSWIRES
American Express Co. (AXP) appointed Vice Chairman Edward P.
Gilligan to head up its global consumer, small business and network
units. And, President Alfred F. Kelly Jr. has decided to seek a
chief executive position elsewhere.
The company, which unlike most rivals issues cards and processes
transactions, has been hurt as customers reduce their spending and
some fall behind on their bills. It has been expanding its product
offerings, including recent plans to re-enter the market for
personal savings deposit accounts.
"Al made clear to me that he wanted the opportunity to run a
company as chief executive," said Chairman and Chief Executive
Kenneth I. Chenault. "Given my own plans for the coming years, we
both agreed that was not likely to happen at American Express in
the short term," leading to Kelly's decision to seek other
opportunities.
Kelly will continue to lead the company's transition to a bank
holding company until his departure early next year, Chenault
said.
Stephen J. Squeri was promoted to group president at its new
global services organization, which will include customer-service,
technologies, business processing and information management,
American Express said. He previously was in charge of technologies
and corporate development.
A senior level executive from outside the company is being
recruited to head a new enterprise growth unit to drive the
company's entry into new payment areas, among other things.
-By Tess Stynes, Dow Jones Newswires; 212-416-2481;
tess.stynes@dowjones.com
