Updated from 11:28 a.m. EST
Carlos Gutierrez, the Cuban-born
CEO who has overseen a steady improvement in the cereal company's fortunes for five years, was named commerce secretary by President Bush on Monday.
Gutierrez, 51, succeeds Donald Evans, who resigned. The company named marketing executive James Jenness, 53, to be its new CEO. Both moves are contingent on Gutierrez' confirmation.
Kellogg shares have gained about 30% since Gutierrez was appointed CEO in late 1999, and have roughly doubled since his turnaround plans started to take hold at the start of 2000. Gutierrez engineered the $4.4 billion acquisition of Keebler in October 2000 and is credited with reducing product development time and overall profitability for the company.
He also initiated a painful round of layoffs in late 1999, closing a cereal factory in the company's hometown of Battle Creek, Mich.
Gutierrez fled Cuba with his family in 1960 and was hired by Kellogg 15 years later as a sales representative in Mexico City. He has held numerous posts with the company since.
Kellogg's stock was recently down $1.58, or 3.5%, to $43.43.