Exodus' Hancock Resigns
Former 3Com head William Krause is new chairman and CEO

Sept. 4, 2001 -- Struggling managed hosting giant Exodus Communications today said chairman and CEO Ellen Hancock had resigned, and appointed board member L. William Krause to succeed her.
"We agreed with Ellen that it's time to transition the leadership of the company as it maneuvers through challenging times,'' Krause said in a press statement. "The focus now is to implement an operating plan that reflects the realities of a tough economic environment."
Hancock had come under increasing scrutiny in recent months as Exodus' stock has slid to less than $1 and the web hosting provider's burn rate has exceeded analyst expectations.
The Santa Clara-based provider has been the subject of frequent takeover speculation, and recently said it would seriously consider any offers to buy the company.
Shares of Exodus were down more than 15 percent at midday following the company's announcement of Hancock's departure.
In recent weeks, the mounting questions about the company's future began prompting concern about Exodus ability to attract and retain customers. At one point, the Gartner Group urged clients who hosted with Exodus to prepare contingency plans to switch to another provider.
The company has also seen a flurry of departures by top executives and board members in recent months.
Krause, who retired as chairman of 3Com Corporation in 1993, is president of LWK Ventures, a private investment company in Silicon Valley, and has been a member of the Exodus board since June 2000.
Krause also served as president, CEO and a director of Storm Technology, Inc., a digital imaging company. He previously held various general management and executive positions at Hewlett-Packard Company.
Krause praised Hancock for her role in Exodus' development.
"During Ellen's tenure, Exodus enjoyed phenomenal growth and was able to build a world-class data center infrastructure and managed services offerings, benefiting greatly from her technology expertise,'' Krause said.
Hancock, 57, previously worked with the likes of Lou Gerstner at IBM and Steve Jobs at Apple Computer. After working with IBM for 29 years, Hancock joined National Semiconductor in September 1995 as an executive vice president and chief operating officer. The following year she joined Apple Computer as chief technology officer, and then joined Exodus as CEO in 1998.
Exodus manages its network infrastructure via a worldwide network of Internet Data Centers (IDCs) located in North America, Europe and Asia Pacific.