XO CEO Resigns

Akerson, who has been Chairman and CEO of XO since joining the company in September 1999, was the guiding force behind the company's restructuring efforts over the past year that led to the approval of the a reorganization plan last month, according to a company statement.

He will stay on at XO until the final reorganization plan is approved by state and federal regulatory bodies, expected next month, an XO spokeswoman said. The company plans to announce a replacement for Akerson--who will continue to serve as a consultant to XO--after the reorganization plans are finalized.

Financier Carl Icahn will hold a controlling interest in XO after the reorganization, according to XO.

Like many startup telcos, XO was hit hard by a downturn in the technology market. The company has been on shaky ground since late 2001. It announced last month court approval of a Chapter 11 Bankruptcy plan that will leave the company with cash and cash equivalents of $554 million and long-term debt of $500 million with postponed interest payments.