- Surya N. Mohapatra, Ph.D., to Become Chief Executive Officer -
- Kenneth W. Freeman to Continue as Chairman Of The Board -
TETERBORO, N.J., April 22 /PRNewswire-FirstCall/ -- Quest Diagnostics
Incorporated (NYSE: DGX), the nation's leading provider of diagnostic testing,
information and services, announced today that Surya N. Mohapatra, Ph.D., will
be appointed President and Chief Executive Officer on May 4, 2004, the date of
the Annual Meeting of Stockholders, completing the CEO succession plan
announced in November, 2003. Dr. Mohapatra, who is currently President and
Chief Operating Officer, succeeds Kenneth W. Freeman, who will continue as
Chairman of the Board through December 14, 2004.
"The transition has gone extremely well," said Dan C. Stanzione, Ph.D.,
Lead Independent Director and Governance Committee Chairman. "We look forward
to Surya's leadership and Ken's ongoing contributions as Chairman."
Under the succession plan announced in November, Mr. Freeman was expected
to remain as Chairman until May, 2005. However, as a result of a more rapid
transition of executive responsibilities, the Board and Mr. Freeman have
agreed that he will step down as Chairman several months sooner than
originally planned but will remain available to provide consulting services to
the company through early May, 2005. In connection with the accelerated
transition, the company expects to record pre-tax charges during the remainder
of the year, preliminarily estimated to total $8.6 million, or $0.05 per
diluted share, related to the acceleration of certain pension obligations
under the Executive Retirement Supplemental Plan in which Mr. Freeman
participates.
Dr. Mohapatra joined Quest Diagnostics in February, 1999, as Senior Vice
President and Chief Operating Officer and was appointed President in June,
1999. He was elected to the Board of Directors in October, 2002. Over the past
five years, he has been responsible for the day-to-day management of Quest
Diagnostics and has played an important role in the growth and strategic
direction of the company.
Mr. Freeman joined Corning Clinical Laboratories, the predecessor company
to Quest Diagnostics, in May, 1995, after holding financial and general
management positions at Corning Incorporated from 1972. He became Chairman
and CEO of Quest Diagnostics at the end of 1996, when the company was spun off
to Corning's shareholders.
Quest Diagnostics Incorporated is the nation's leading provider of
diagnostic testing, information and services, providing insights that enable
healthcare professionals to make decisions that improve health. The company
offers the broadest access to diagnostic testing services through its national
network of laboratories and patient service centers, and provides interpretive
consultation through its extensive medical and scientific staff. Quest
Diagnostics is the leading provider of esoteric testing, including gene-based
medical testing, and provides advanced information technology solutions to
improve patient care. Additional company information is available at:
www.questdiagnostics.com
The statements in this press release which are not historical facts or
information may be forward-looking statements. These forward-looking
statements involve risks and uncertainties that could cause actual results and
outcomes to be materially different. Certain of these risks and uncertainties
may include, but are not limited to, competitive environment, changes in
government regulations, changing relationships with customers, payers,
suppliers and strategic partners and other factors described in the Quest
Diagnostics Incorporated 2003 Form 10-K and subsequent filings.
SOURCE Quest Diagnostics Incorporated
-0- 04/22/2004
/CONTACT: Investors - Laure Park +1-201-393-5030, Media - Gary Samuels,
+1-201-393-5700, both of Quest Diagnostics Incorporated/
/Web site: http://www.questdiagnostics.com /
(DGX)
CO: Quest Diagnostics Incorporated
ST: New Jersey
IN: BIO MTC HEA
SU: PER
DO
-- NYTH057 --
1110 04/22/2004 06:00 EDT http://www.prnewswire.com