The executive of
(Nasdaq:KOR) has appointed former Israeli turnaround expert Eitan Zur COO of
(Nasdaq:ECIL), TheMarker.com has learned.
Previously Zur had provided ECI advisory services. Coming from the Chase group of the U.S., Zur has 25 years' experience in rehabilitating floundering companies. Immediately on taking over as COO, Zur introduced a number of harsh cost-cutting measures, including reducing the number of light bulbs in the company's corridors to save on electricity.
Zur is running ECI's ongoing operations while CEO Doron Inbar occupies himself with the company's functional and financial demerger into five independent companies.
Apropos of which, TheMarker.com has learned that the managers of the five baby ECIs are squabbling over allocation of parent company resources, from cash to workers to inventory to office space.
Meanwhile, the management of Koor, which controls ECI, is working on manning the boards and top positions at each of the companies. Koor is mulling over bringing in American management to some of the companies in the stead of veteran executives from the ECI group.
Zur joined ECI together with Joe Shapiro, who returned to the company as VP of international sales.
ECI's financial statements for the first quarter are supposed to present the separated results of the five baby ECIs.
Two weeks ago ECI announced another major wave of dismissals, targeting no less than 1,000 of its employees working in Israel and abroad.