Zynga CEO Mattrick Shakes Up Management Ranks
Zynga Inc. (ZNGA) said Chief Operations Officer David Ko and Chief People Officer Colleen McCreary are leaving the social-gaming developer amid an executive shuffle.
Both are among several senior managers departing as part of a reorganization being led by Chief Executive Officer Don Mattrick. Chief Technology Officer Cadir Lee will also exit, Mattrick said in an e-mail to staff today.
The exits follow last month’s appointment of Mattrick, a former Microsoft Corp. (MSFT) executive who is attempting a turnaround at the struggling game maker. The new CEO is working to revive growth and reinvigorate Zynga’s efforts in mobile games. The company expects two to four quarters of “volatility” as Mattrick evaluates the business and products while developing a new strategy, he said on a conference call last month.
“We are taking layers out of the executive rank to get senior leaders closer to important product initiatives,” Mattrick wrote.
Zynga is down 17 percent since announcing on July 25 that it’s abandoning plans to enter the online-gambling business in the U.S. The company also forecast third-quarter sales and earnings that fell short of analysts’ estimates as fewer users play games on Facebook Inc. (FB)’s website.
Mattrick, who replaced Mark Pincus as CEO in early July, is seeking to turn around the company and reverse a share slide of 71 percent since the company went public in December 2011.
King.com, developer of “Candy Crush Saga,” reached 150.4 million monthly users on Facebook in June, surpassing Zynga, according to online tracker AppData, ending Zynga’s five-year reign as the top game maker on the social-networking service.
Ko, who spent a decade at Yahoo! Inc. (YHOO) before joining Zynga, was promoted to COO last November following a previous reorganization led by founder Pincus.
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