Two of Iona's longest-serving executives leave

Two of Iona Technologies' longest-serving executives, Dan Demmer and Beth Mittelman, are leaving the Irish software company to pursue other interests.

The resignations follow the decision last month by Iona founder Dr Chris Horn to step down as chief executive and assume a part-time position with the firm as vice-chairman.

The departure of Mr Demmer, Iona's chief financial officer, and Ms Mittleman, director of investor relations, will result in a management reshuffle at the firm.

In April, Iona announced that Peter Zotto was taking over from Dr Horn, who had returned as chief executive to lead a restructuring in 2003.

Mr Demmer, who has held the position of chief financial officer for five years, is leaving Iona to join a private software firm in the US. Iona would not reveal the identity of the software firm that he is joining but it said it was in an unrelated field.

The firm said Mr Demmer would step down on June 30th and it had already initiated a search for a successor to replace him.

In a statement issued by Iona, Mr Demmer said: "I am proud to be associated with Iona. The company has developed a highly leverageable business model and has set itself a clear objective to become the market leader in the Enterprise Service Bus (ESB) market. However, after almost a decade with the company, I feel the time is right to pursue a new opportunity in the software industry."

Iona said that Ms Mittleman, the firm's director of investor relations, had decided to become a full-time mother following a period of maternity leave and would not return to her former position in the company.

Bríd White, an analyst with Merrion Stockbrokers, said the resignations represented the last part of a transition from the previous executive team to the new management team. She said the management transition by Iona had been well managed and the firm retained a speculative "buy" rating on the stock.

Meanwhile, Iona re-affirmed its guidance for the second quarter of 2005 with total revenues expected to be $16-$17 million (€13.3-€14.1 million). Shares in Iona closed down 4 cents at €2.65.