LOUISVILLE, Ky. (AP) -- David C. Novak was named chief executive of Tricon Global Restaurants Inc., the company behind the Pizza Hut, KFC and Taco Bell chains.
The world's largest restaurant operator also raised its estimates of earnings growth expected for the coming year.Novak, who has been Tricon's vice chairman, will replace Andrall E. Pearson, 74, in the CEO post as of Jan. 1 but Pearson will remain as chairman, the company announced today. Pearson's term as chairman will run through 2000.
The Louisville-based company reaffirmed it expects an increase of 33 percent to 35 percent in operating earnings per share this year over last year's $1.83.
But it said it now expects growth of 23 percent to 27 percent in earnings per share for 2000, up from earlier projections of growth in the mid-teens. It said two to three percentage points of the higher growth rate is because there will be 53 weeks in its fiscal year in 2000.
Novak, 47, became vice chairman of Tricon when it was spun off from PepsiCo in October 1997, and was widely viewed as the likely successor to Pearson as CEO. Novak was the former president and CEO of KFC and Pizza Hut.
The company also announced that David Deno, 42, has been promoted to chief financial officer. Sandra Wijnberg, who was the interim CFO, removed herself from consideration.
Tricon is the world's largest restaurant operator with more than 30,000 company-owned and franchised restaurants in over 100 countries and territories.