Navistar Taps COO Lisboa as CEO, Clarke Executive Chairman

Navistar named its operations chief, Persio Lisboa, as CEO of the construction and farm machinery stalwart. Troy Clarke becomes executive chairman.
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Navistar International  (NAV) - Get Report shares on Friday were higher after the construction and farm machinery stalwart named its operations chief, Persio Lisboa, president and chief executive.

Troy Clarke, who has been president, CEO and a director since April 2013, and chairman since February 2017, becomes executive chairman.

Lisboa, 54, a 32-year veteran of the Lisle, Ill. company, had been executive vice president and COO. He takes the helm July 1. Clarke said in a statement that he'll be moving toward retirement.

Clarke will continue to manage the company's discussions with Volkswagen's  (VLKAY)  truck division, Traton. In January Traton offered to acquire Navistar for $35 a share cash. At the time Traton already held 16.8% of Navistar. 

Traton produces trucks and other commercial vehicles under a variety of brands including Scania.

Navistar shares at last check were up 2.2% to $26.69. 

"Together, the Navistar team and I are committed to delivering on our Navistar 4.0 strategy," Lisboa said. 

"We have strong momentum with our new-product programs, including those under development with Traton. The execution of our Lean Manufacturing 4.0 vision is on track."

Earlier this month, Navistar reported a second-quarter loss due to disruption from covid-19 as orders for the company's Class 8 truck fell from about 3,000 per week in February to 1,000 a week in April. 

"As freight demand declined in the quarter, truck utilization dropped and rates fell," Clarke said. 

"With excess trucking capacity, companies reassessed their needs, especially in the general freight, rental leasing and private fleet segments."