Package delivery company United Parcel Service said Monday that Chief Financial Officer Scott Davis will replace Chief Executive Officer Mike Eskew, who will step down at the end of this year.
Davis, 55, joined the Atlanta-based company in 1986 when UPS took over II Morrow, where he was CEO.
Davis also serves as deputy chairman of the board of the Federal Reserve Bank of Atlanta and on the board of Honeywell International.
His appointment as CEO will probably not surprise the market as company officials have said off-the-record for some time that, when Eskew stepped down, Davis would be his likely successor.
At the majority of quarterly results conference calls over the past few years, Davis has presided instead of Eskew. Eskew has been CEO of UPS since the start of 2002.
The world's largest package delivery company said that Davis will be replaced by Kurt Kuehn, currently senior vice president of global sales and marketing.
Kuehn, 52, has been with UPS for 30 years. UPS employs some 427,000 people worldwide and reported revenue of $47.5 billion in 2006, compared with $31.3 billion in the year that Eskew took over leadership of the company.
The company's main rival is Memphis-based FedEx.