Voluntary Resignations : Micro D to Lose 2 Key Executives in Merger

Two top Micro D executives will leave the Santa Ana computer products distributor after its merger with Ingram Industries Inc. is completed, the company said Wednesday.

The resignations of Vice Chairman Harold L. Clark and Godfred P. Otuteye, senior vice president and chief financial officer, were voluntary, Micro D Chairman Linwood A. (Chip) Lacy said.

“These guys came to me in December and said that if the (merger) went through, they both wanted to kick back a little bit,” Lacy said.

Otuteye’s resignation is effective March 10, while Clark’s last day will be May 1.

The positions have been filled, Lacy said, but the company will not name the successors until Thursday.

Micro D agreed last month to be acquired by Ingram, a Nashville-based conglomerate, for $43.9 million. Ingram plans to merge its Buffalo, N.Y.-based computer distribution company with Micro D. The new company, to be headquartered in Santa Ana, is expected to have sales of about $1 billion in 1989.

Clark, a specialist in rescuing troubled corporations, joined Micro D as an executive vice president in 1984. He was recruited by company founder Lorraine Mecca to help stem losses at the company. He was promoted to president and chief operating officer in 1985 and to vice chairman in 1988.

Clark “came on board at a time when every move we made was critical to our ability to stay in business and, under his leadership, we’ve seen this company come to dominate the distribution business,” Lacy said.

Micro D earned $8.2 million on revenue of $553.4 million in 1988.

Clark said he has no immediate plans after he leaves the company besides taking some time off. “I need to take a few months off for some rejuvenation,” he said.

Otuteye joined Micro D in 1983 as chief financial officer and was promoted to senior vice president in 1985. He was chiefly responsible for overseeing Micro D’s initial public stock offering in 1985 and rounding up new investment for the firm as it grew rapidly.

Clark and Otuteye have been large holders of Micro D stock. Before the merger agreement, Clark owned 40,000 shares and Otuteye owned 115,000.

Under the agreement, Ingram will pay $14.75 for each Micro D share it doesn’t already own.