NEW YORK (TheStreet) -- Fusion-IO (FIO) shares were higher in pre-market trading by 1.16% to $14.77, following news that David Flynn resigned as CEO and president, effectively immediately. The company also announced that co-founder, Rick White, has resigned as chief marketing officer to join Flynn in early stage investing activities.
The announcement came as a huge surprise to Wall Street, which sent shares sharply lower following the news. Shares closed at $18 on May 7, and fell to $14.60 at the end of trading on May 8, a decline of 18.9%.
Shane Robison is taking over for Flynn, having been most recently the executive vice president and chief strategy and technology officer at HP (HPQ). "Shane Robison is a proven executive with the experience and expertise to lead Fusion-io as we enter our next phase of growth and development," said Scott Sandell, lead independent director of Fusion-IO's board.
The company announced this morning that Robison will participate in the Tech Talk with Technology Insights Research webcast today.
Fusion-IO, which counts Apple (AAPL) and Facebook (FB) as two of its largest customers, reaffirmed the financial outlook the company gave when it reported earnings April 24th. For the fourth-quarter of fiscal 2013, the flash memory maker expects revenue to be approximately $110 million, with non-GAAP gross margins between 56 and 58%. For the full year, revenue is expected to be approximately $435 million. --Written by Chris Ciaccia in New York >Contact by Email. Follow @Chris_Ciaccia
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV