Updated from 12:18 p.m. EDT

Internet service provider

Prodigy Communications

(PRGYA)

named a new chief executive and announced a plan to relocate the company's headquarters to Austin, Texas, the company said Friday.

Charles Roesslein, 51, formerly senior vice president of

SBC Communications

(SBC)

, was named Prodigy's chief executive, replacing Samer Salameh, 35, who will remain chairman of the board. Roesslein was named to the additional title of president, replacing David Trachtenberg, 38, who will serve as a consultant to Roesslein through the transition.

The company will move its headquarters from White Plains, N.Y., a suburb of New York City, to Austin, with 200 employees in place by early 2001 and 350 more by the end of next year.

Prodigy said the moves will enable it to take better advantage of its alliance with San Antonio-based SBC, which owns 40% of the company. As part of the alliance, Prodigy took over the SBC unit which provides Internet access to consumer and small businesses.

Roesslein joined SBC in 1970 and was most recently responsible for coordinating the integration of the Baby Bell's mergers.

Shares of Prodigy closed down 5/16, or 3%, to 10 7/8 in Friday trading.