mpany named Lucent Technologies, would be a powerful competitor in the fast-growing communications systems market. Henry B. Schacht was designated Lucent Technologies Chief Executive Officer. The company's computer unit AT&T Global Information Solutions (GIS), would be established as an independent company by spinning it off to AT&T Shareowners. "Our services and systems businesses are at the intersection of tremendous change and opportunity," said Allen. "This restructuring ensures that each can follow the path of greatest opportunity without worrying about bumping into each other along the way." Lars Nyberg was announced Chief Executive Officer for NCR, formerly known as GIS, the new computer company. Allen believes Nyberg to be the right leader to get the computer business back on track. Nyberg is taking action to create a smaller, more focused and more rapid business. NCR will continue to develop, manufacture, and market computer platforms for any industry, however, it will focus on the three key industry segments where it has a leading position -- financial, retail, and communications. As a major part of its turnaround, NCR will halt the manufacturing of personal computers. It will continue to support and service all its current hardware and software installations and will market its service capabilities to all industries. NCR, which currently employs 43,000 people in more than 120 countries, announced a major cost-cutting initiative that will lead to the termination of approximately 8,500 jobs. AT&T will incur a pre-tax charge of approximately 1.5 billion dollars against third quarter earnings to cover the costs of the NCR restructuring. This reduces the 1995 earnings by 1 billion dollars, or 66 cents per share. AT&T plans to sell its remaining shares of AT&T Capital Corporation to the general public or another company. It holds 80 percent of Capital Corporation's shares, having only sold a minority of the shares to...
