named Ted Waitt, the company's founder and chairman, to the additional post of chief executive, effective immediately.

Waitt replaces Jeff Weitzen, who served as chief executive since January of last year and now plans to retire. Waitt, age 38, is credited for bringing the PC maker, which is based in San Diego, from a start-up to a $10 billion company in 15 years.

TheStreet Recommends

Earlier this month, Gateway badly missed its already lowered fourth-quarter earnings estimate and cut its projections for 2001. Gateway also said it would reduce its worldwide employment ranks in the first quarter by more than 10% and take a $50 million pretax charge.