Palmisano to Succeed Gerstner as IBM Chairman

Palmisano, 51, replaced Gerstner, 60, as CEO on March 1, as part of a succession plan announced in January. He will remain president and CEO when he assumes the additional role of chairman.

Gerstner, who joined IBM in 1993, is credited with leading one of the great business turnarounds of the decade. He transformed IBM from an ailing hardware maker into a lean and aggressive technology and service company.

Palmisano became president and chief operating officer of the Armonk, N.Y.-based computer giant in September 2000, after holding leadership positions in almost all of the company's operating units.