Blood in the Boardroom

More CEOs are being sacked than ever before, undone by antsy investors and impatient directors

Executives at Lucent Technologies, the New Jersey telecom-equipment maker, couldn't help noticing this year that CEO Richard McGinn had morphed from an outgoing, hands-on boss who ate lunch in the cafeteria to a withdrawn figure bunkered in his office. Perhaps retreat was in order. After three otherwise successful years at the helm, McGinn had committed a series of screw-ups. Among them: missing out on optical-equipment investments that Lucent's competitors later cleaned up on and avoiding layoffs in spite of declining sales. Two weeks ago, he delivered really bad news: the current quarter's revenue would be 7% lower than last year's. It...

Want the full story?

Subscribe Now


Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!