DETROIT -- BorgWarner Inc. named James Verrier as CEO, succeeding Tim Manganello after 10 years at the helm of the powertrain technology supplier.
The move is effective Jan. 1. BorgWarner signaled its succession plan in March when it named Verrier, 49, to the newly created position of president and COO.
Manganello, 62, will remain executive chairman until he retires in April, the company said in a statement today.
Alexis Michas, currently lead director, will become non-executive chairman after Manganello's retirement.
BorgWarner, whichi makes a variety of energy efficient components such as dual-clutch transmissions and turbochargers, in March also named Ron Hundzinski as its new CFO, succeeding Robin Adams.
Manganello was named CEO on Feb. 5, 2003, when BorgWarner stock closed at $13.76. The stock has more than quadrupled under his tenure, closing Wednesday at $61.43, while sales more than doubled. Following the announcement, BorgWarner shares closed up almost 1 percent today at $61.94 while the Dow Jones industrial average fell 0.2 percent.
"The Manganello/Adams tandem was tremendously successful both operationally and financially and both men were well respected by the investment community," Wells Fargo analyst Rich Kwas wrote today.
"The Verrier/Hundzinski team is filling big shoes, in our view. Inevitably, comparisons will be made by investors on a go-forward basis. In our view, the new tandem is well positioned to succeed although it may take some time for them to make their mark with investors."
Verrier is taking command as BorgWarner faces lessened demand in Europe, where it generates about half of its business, according to the Automotive News Data Center. Vehicle sales in the region are headed to the lowest level in 19 years because of the sovereign-debt crisis.
BorgWarner has been helped longer-term by demand for turbochargers, which boost fuel economy.
Verrier has been with BorgWarner for 23 years. His prior positions have included vice president of BorgWarner's turbo systems and passenger car products based in Germany.
BorgWarner, based in suburban Detroit, ranks No. 27 on the Automotive News list of the top 100 global suppliers with worldwide sales to automakers of $7.11 billion in 2011.
Bloomberg contributed to this report.