Rackspace shares off as CEO retires

MarketWatch.com - MarketPulse SAN FRANCISCO (MarketWatch) -- Rackspace Hosting on Monday reported upbeat fourth-quarter results, but saw its shares fall as much as 12% in after-hours trading as the cloud-technology company said Chief Executive Lanham Napier would retire. Napier is being replaced by Rackspace co-founder and executive chairman Graham Weston, who had been the company s CEO from 1999 to 2006. Rackspace reported earnings of 14 cents a share on $408 million in revenue, compared with a profit of 21 cents a share on sales of $352.9 million in the prior-year s fourth quarter. Analysts surveyed by FactSet had forecast Rackspace to earn 14 cents a share on $404.7 million in revenue.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.