NEW YORK, April 28 (Reuters) - Merck & Co promoted its global head of pharmaceuticals, Kenneth Frazier, to company president on Wednesday, in a move likely to put him in line to succeed chief executive Richard Clark when he takes mandatory retirement next year.
'This is the next step in our succession plan,' Clark told Reuters in an interview, while declining to say outright that Frazier will take the helm when he retires.
Clark turns 65, the mandatory company retirement age, next March.
Merck, the world's second-biggest drugmaker following its acquisition last year of Schering-Plough Corp, said Clark will remain chairman and CEO as he relinquishes his role of president to Frazier.
Clark became CEO in 2005, the year after Merck recalled Vioxx -- a fast-growing blockbuster treatment for pain and arthritis -- due to increased risk of heart attack and stroke.
Frazier was named head of global human health in 2007 after serving as the company's general counsel from 1999, during which time he successfully fought thousands of personal injury lawsuits filed against Merck by former Vioxx users.
Merck settled the lawsuits for about $4.85 billion, billions less than investors had feared, boosting Frazier's profile within Merck and with Wall Street.
Many industry analysts have speculated Frazier will be given the helm of Merck when Clark retires, although company chief financial officer Peter Kellogg has been considered a candidate.
Adam Schechter, now head of Merck's U.S. pharmaceuticals business, has been elected by the board of directors to succeed Frazier as president of global human health, the company said on Wednesday.
(Reporting by Ransdell Pierson; editing by Andre Grenon) Keywords: MERCK/ (Reuters Messaging: ransdell.pierson.reuters.com@reuters.net; 646-223-6034; ransdell.pierson@reuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
'This is the next step in our succession plan,' Clark told Reuters in an interview, while declining to say outright that Frazier will take the helm when he retires.
Clark turns 65, the mandatory company retirement age, next March.
Merck, the world's second-biggest drugmaker following its acquisition last year of Schering-Plough Corp, said Clark will remain chairman and CEO as he relinquishes his role of president to Frazier.
Clark became CEO in 2005, the year after Merck recalled Vioxx -- a fast-growing blockbuster treatment for pain and arthritis -- due to increased risk of heart attack and stroke.
Frazier was named head of global human health in 2007 after serving as the company's general counsel from 1999, during which time he successfully fought thousands of personal injury lawsuits filed against Merck by former Vioxx users.
Merck settled the lawsuits for about $4.85 billion, billions less than investors had feared, boosting Frazier's profile within Merck and with Wall Street.
Many industry analysts have speculated Frazier will be given the helm of Merck when Clark retires, although company chief financial officer Peter Kellogg has been considered a candidate.
Adam Schechter, now head of Merck's U.S. pharmaceuticals business, has been elected by the board of directors to succeed Frazier as president of global human health, the company said on Wednesday.
(Reporting by Ransdell Pierson; editing by Andre Grenon) Keywords: MERCK/ (Reuters Messaging: ransdell.pierson.reuters.com@reuters.net; 646-223-6034; ransdell.pierson@reuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.