In a surprise to many in the mailing industry, United Parcel Service chairman/CEO James P. Kelly announced his retirement yesterday effective in January.
The announcement came at the company's board of directors meeting.
The UPS board chose vice chairman Michael L. Eskew as chairman-elect. He will assume the role of chairman/CEO in January.
During Kelly's tenure as chairman, UPS expanded aggressively beyond its core package-delivery business to become a global supply-chain management concern with increasing capabilities in logistics, information technology and financial services.
UPS also recorded strong financial performance during the period. Revenue climbed from $22.4 billion in 1996, the year before Kelly became chairman, to $29.8 billion in 2000.
Net income rose from $1.15 billion in 1996 to $2.93 billion in 2000.