By DAVID WALLACE, Associated PressAP – Oracle CEO Safra Catz was among the top executives at the company that went bankrupt when it filed for Chapter 11 bankruptcy protection.
The CEO’s former colleagues said she has been at the center of a management crisis at Oracle.
Catz, 62, is a veteran Oracle executive who had been with the company for more than a decade.
The company, which is being sued by former customers and its former CEO, is on the brink of bankruptcy protection and is under investigation by the Justice Department for fraud, abuse of power and other charges.
CatZ, who is retiring in July, has not been publicly available since a public company meeting in August.
Oracle was once the most successful software company in the world.
But its business model has been disrupted by Oracle’s acquisition of Sun Microsystems and its decision to close hundreds of software projects and jobs.
Catzz, who was the company’s top executive, said in a statement that she was « very proud of the tremendous contribution we have made to the Oracle family over the past 30 years. »
The statement did not name Catz.
Catzos’ former colleagues, who spoke on condition of anonymity because they were not authorized to discuss the company publicly, said she had been a forceful advocate for the company.
« I remember seeing her during the time we were at Oracle and I thought, ‘Wow, that’s a really strong person, and she’s been around a long time,' » said a former Oracle executive.
« She was really vocal, and the whole Oracle team, and all the senior people, were very supportive. »
A former Oracle employee said that Catz pushed Oracle to make significant changes in the way it operates.
« People were very concerned that Oracle was going to run the company like a private enterprise and would take away what Oracle was good at, » the former Oracle official said.
« They really wanted to make sure that they were doing things that were good for Oracle and not taking advantage of the business. »
Catz said she did not know about any of the company plans to close software projects, but that the company would continue to focus on its core business.
Oracle, which filed for bankruptcy protection in October, said Catz resigned after the company learned she had a medical condition.
She did not respond to a request for comment from AP.
Catzl was Oracle’s largest executive, but was pushed out by the merger of Sun and Oracle that saw Oracle’s share price tumble by more than half.
Her departure was the largest by a senior executive at Oracle since former CEO David Sacks stepped down in January 2015.
She will leave the company in August and be replaced by CEO and chairman Larry Ellison, who also has a long history at Oracle, and is known as Oracle’s « chief evangelist. »
Ellison is the third Oracle executive to be fired in the last month.
The board also is under scrutiny for its handling of the $1.6 billion sale of Sun to Oracle, a transaction that has become a lightning rod for political and financial scrutiny.
Oracle’s stock price tumbled nearly 2 percent in early trading Thursday after it announced that Ellison had been fired.
The stock rose 1.8 percent Friday and was trading below $100 for the first time.
Ellison has also said Oracle was trying to save its reputation by closing software projects to cut costs and avoid a potential lawsuit.
« Oracle was not making the right choices in the merger process, » Ellison said in January, according to a statement from Oracle.
« We will be transparent and accountable for those decisions. »
Oracle, founded in 1974, is among the largest software companies in the United States and the world, according for its revenues.
It has more than 60,000 employees and has $1 trillion in annual revenue.
The bankruptcy filing shows that Oracle is facing more than $1 billion in losses and $1 million in debt.
In October, Oracle reported a net loss of $4.3 billion, or $2.78 per share, compared with a loss of nearly $3.1 billion, a loss per share of $2,842, or 4 cents.
The lawsuit is one of several that have been filed against Oracle in recent years, alleging that it has failed to act on a number of issues, including failing to comply with the federal Consumer Financial Protection Bureau, failing to make certain software products affordable, failing on other matters and failing to protect its customers’ information.
In a letter to the board, Oracle’s former CEO filed a lawsuit against Oracle on behalf of more than 100 former and current employees alleging a wide range of allegations.
Oracle said in the filing that Ellison did not file a lawsuit on behalf or on behalf to a single individual.
It said Ellison was not the only person involved with the process to file a suit.
The complaint against Ellison says Ellison has filed a separate lawsuit, one with the U.S. Department of Justice, alleging breach of contract, breach of fiduci