Texas Instruments Inc. shares declined in the extended session Tuesday after the chip maker announced that President and Chief Executive Brian Crutcher is out because of code of conduct violations. Texas Instruments shares fell 2.2% after hours, following a 1.1% gain to close the regular session at $115.80. Crutcher, who officially took over as CEO on June 1, is also stepping down from the company board. Chairman Rich Templeton will take on the added roles of president and CEO “on an ongoing, indefinite basis,” and the company said it will not be searching for a replacement. In a statement, the company said Crutcher’s “violations are related to personal behavior that is not consistent with our ethics and core values, but not related to company strategy, operations or financial reporting.” Texas Instruments is the third chip maker in less than a month where the CEO has stepped down over code of conduct violations following Brian Krzanich’s departure from Intel Corp. and Ron Black’s departure from Rambus Inc. in June. Additionally, Texas Instruments said it plans to report on July 24 second-quarter earnings of $1.40 a share, with a 3-cents-a-share tax benefit that wasn’t included in the company’s original guidance, on revenue of $4.02 billion. Analysts surveyed by FactSet estimate earnings of $1.30 a share on revenue of $3.96 billion.
Read on Market Watch