LONDON - All but one member of the board of supplier T&N will leave the company following its takeover by USA-based Federal-Mogul late last year. T&N's businesses will become part of four new Federal-Mogul divisions, and the T&N name will become a product brand.
The merged group will have sales of about $5.1 billion. Its products include engine systems, bearings, pistons, piston rings and cam shafts and seals.
The only T&N board member staying on is Chairman Colin Hope, who will serve as an international adviser for two years.
Federal-Mogul Chairman Richard Snell has named his top executives.
Frank Tomes, 55, former chief executive of the T&N Composites and Camshafts Group will head up the General Products division as executive vice president. The division will have sales of about $2 billion a year from friction products, camshafts, composites, sintered metals, fuel system components, lighting, and other products.
Paul Lederer, 58, who was president and chief operating officer of US gasket-maker Fel-Pro Inc., acquired at the same time as T&N, becomes executive vice president of the Worldwide Aftermarket division.
Two other executive vice presidents are Federal-Mogul executives Alan Johnson, 49, at Powertrain Systems, and Wilhelm Schmelzer, 57, at Sealing Systems.
Alan Begg, 43, has been appointed to the newly created post of vice president for technology.
Federal Mogul aims to create an 'All Star' management team, said Kimberly Welch, Federal-Mogul executive vice president for communications.
'It is not a case of Federal-Mogul putting its own people in,' said Welch. 'We have a clean sheet of paper and we are taking the best candidates for the new organization. It's an exciting time because everyone is trying out to be on the All Star team.'
She said some managers may not make the grade.
The new Federal-Mogul business will have almost 44,000 employees worldwide.
Job cuts are expected, because Snell said that there are about 1,000-2,000 overlapping jobs in the organization.
T&N Chief Executive Ian Much will leave the company with compensation of $1.5 million. Hope will receive $570,000.
The merger of Federal-Mogul and T&N will create one of the largest automotive suppliers in the world and more than double Federal-Mogul's seal and gasket sales to $720 million.
Federal-Mogul's 1997 sales fell 11 percent, but it earned $69.4 million compared to a $206.3 million loss in 1996. The $2.5 billion acquisition is to be completed this month.