Sara Lee Names Barnes as President

Brenda Barnes, who walked away from a job as president and chief executive of PepsiCola North America to spend more time with her children, will become the president and chief operating officer at Sara Lee Corp., the company announced Sunday.

Barnes, 50, spent 22 years at PepsiCo, becoming president and CEO at PepsiCola North America in 1996. She made headlines when she quit in 1998 to be with her family.

She served as interim president and chief operating officer at Starwood Hotels & Resorts from November 1999 to March 2000.

In recent years, Barnes has served as a director on a number of corporate boards, including those of Avon Products Inc., New York Times Co., Sears, Roebuck & Co. and Staples Inc.

“Brenda brings a tremendous wealth of knowledge, integrity and operational expertise to the company,� said C. Steven McMillan, chairman and CEO of Sara Lee.

“Her reputation for delivering results while building strong branded business makes her an excellent match for Sara Lee,� he said.

Barnes, whose appointment takes effect July 1, will report to McMillan.

McMillan now holds the title of president, and the company does not currently have a chief operating officer.

Chicago-based Sara Lee also promoted Lee A. Chaden, 62, to CEO of its branded apparel unit. He replaces Cary D. McMillan, who resigned from the company’s board of directors and is leaving Sara Lee, the company said.

McMillan is no relation to C. Steven McMillan.

The moves come less than two weeks after the company posted third-quarter earnings that showed that the branded apparel unit, which includes underwear and leg wear and is Sara Lee’s biggest business line, was the only division with lower earnings.

Overall, Sara Lee posted a better-than-expected 40% increase in third-quarter earnings.

Sara Lee shares fell 6 cents to $23.08 on the New York Stock Exchange on Friday. They have risen 44% in the last year.