Cendant Corporation Announces Convergence Strategy for its Off-line and Online Businesses; Creates Cendant Internet Group (CIG)
- Cendant Names Former Lehman Brothers Senior Internet Equity Analyst, Brian Oakes, as an Executive Vice President and Chief Investment Officer of CIG -
NEW YORK, Jan. 31 /PRNewswire/ -- Cendant Corporation (NYSE: CD) today announced that it will aggressively pursue a convergence strategy for its off-line and online businesses. To execute this strategy the Company has formed Cendant Internet Group (CIG). Samuel L. Katz, formerly Cendant's senior executive vice president of Strategic Development, was appointed CEO of the group. Mr. Katz will continue to report to Cendant's Chairman, President and CEO, Henry R. Silverman.
The Company also announced that former Lehman Brothers senior Internet equity analyst, Brian Oakes, has joined Cendant as an executive vice president and chief investment officer of CIG, reporting to Mr. Katz. In addition, Anwar Zakkour, who assisted Mr. Katz during 1999 in successfully disposing 18 business units for approximately $4.5 billion, will also join CIG as an executive vice president.
Mr. Silverman stated: "It has become very clear that the real winners in Internet space will be those companies that have strong brands and a proven off-line infrastructure for delivering services and products online at higher margins. Cendant is in a unique position because it has all of those essential elements. We have strong brands, world-class off-line infrastructure, proven Internet expertise, strong alliances with companies such as Liberty Media, and now the management team led by Sam Katz and Brian Oakes to create considerable growth opportunities for our company through the successful convergence of Cendant's off-line and online businesses."
Over the next several months, Cendant expects to develop a comprehensive Web plan which delivers several new business applications and e-enables the Cendant organization. During this time frame, the Company also expects to enter into related alliances and investments to further enhance its digital strategy. CIG will work closely with Liberty Media and Cendant's operating management to achieve this convergence vision which it anticipates will increase shareholder value and create growth opportunities for employees and customers.
Mr. Oakes was an early acceptor of the Internet and has been providing research on high-gain, high-growth Internet stocks since 1995. His coverage included America Online, c/net, Excite@Home, VerticalNet and Yahoo!. He was named Institutional Investor's "Home Run Hitter of the Year" in 1998, and in 1999 he was chosen again for his selection of America Online. Mr. Oakes ranked in the Wall Street Journal's All Star equity analyst award survey in both 1998 and 1999 for stock picking and earnings estimate accuracy. He has also been recognized by Fortune as " ...one of Wall Street's sharpest analysts .
an) Internet brain trust..." Prior to joining Lehman Brothers, Mr. Oakes spent nine years at J.P. Morgan Securities. He holds a MBA from the Stern School at New York University, and a Bachelors of Science degree in electrical engineering from Rutger's University.
Additionally, the Company announced that the mergers and acquisitions (M&A) function which formerly reported to Mr. Katz will now report to Cendant's Senior Executive Vice President and Chief Financial Officer, David M. Johnson, who will continue to report to Mr. Silverman. |
