 Timken Co.'s (TKR) finance chief, Glenn A. Eisenberg, is the latest executive to say he will leave the company when it spins off its steel business from its bearings and power transmission business.<br /><br />Timken's board last week approved a plan to split the company into two separate publicly traded companies, a decision that had been urged by activist fund Relational Investors and the California State Teachers' Retirement System, and approved by shareholders in May.<br /><br />When the split happens, Philip D. Fracassa, who will oversee the company's split, will become the chief financial officer of the larger bearings and transmission company, which will retain the company's name. The company said it expects Christopher J. Holding, who was named senior vice president of tax and treasury in 2010, will be named CFO of the steel company.<br /><br />Last week, the company said Chief Executive James Griffith will retire from the company and Richard G. Kyle will become president and CEO of the bearings and power transmission company. John M. Timken Jr. will be named non-executive chairman. Ward Timken Jr. will serve as chairman and CEO of the engineered steel company.<br /><br />"I'm very pleased with the company's accomplishments over the years, and feel that the timing is right for the next generation of leaders to take over the new companies," said Mr. Eisenberg, who will leave after 12 years with Timken.<br /><br />Shares of Timken were inactive at $61.52 premarket. The stock was up 29% this year through Friday's close.<br /><br />Write to Michael Calia at michael.calia@wsj.com<br /><br />-- Timken's CFO says he'll leave the company when it spins off its steel business<br /><br />-- The move is the latest of several executive changes seen after the company splits<br /><br />-- Also, Moody's lowered its outlook to negative from stable on the remaining businesses of Timken<br /><br />(Updates with Moody's outlook revision and closing price)<br /><br /> <br />   By Michael Calia <br /> <br /><br />Timken Co.'s (TKR) finance chief, Glenn A. Eisenberg, is the latest executive to say he will leave the company when it spins off its steel business from its bearings and power transmission business.<br /><br />Timken's board last week approved a plan to split the company into two separate publicly traded companies, a decision that had been urged by activist fund Relational Investors and the California State Teachers' Retirement System, and approved by shareholders in May.<br /><br />When the split happens, Philip D. Fracassa, who will oversee the company's split, will become the chief financial officer of the larger bearings and transmission company, which will retain the company's name. The company said it expects Christopher J. Holding, who was named senior vice president of tax and treasury in 2010, will be named CFO of the steel company.<br /><br />Last week, the company said Chief Executive James Griffith will retire from the company and Richard G. Kyle will become president and CEO of the bearings and power transmission company. John M. Timken Jr. will be named non-executive chairman. Ward Timken Jr. will serve as chairman and CEO of the engineered steel company.<br /><br />"I'm very pleased with the company's accomplishments over the years, and feel that the timing is right for the next generation of leaders to take over the new companies," said Mr. Eisenberg, who will leave after 12 years with Timken.<br /><br />Separately, Moody's Investors Service on Monday lowered its outlook on Timken to negative from stable, citing uncertainty around the ultimate credit profile of the remaining bearings and power transmission business after the separation. Moody's, which affirmed Timken's rating two levels above junk territory at Baa2, noted the remaining Timken business will be a smaller, less diversified company, but potentially more stable given the higher volatility of the steel business. However, it also expects the remaining bearing and power transmission business to potentially be more leveraged than the current Timken and noted the remaining units' operating earnings have deteriorated over the past year.<br /><br />Shares of Timken rose 15 cents to $42.71 in regular session trading. The stock is up 8.5% so far this year.<br /><br />Write to Michael Calia at michael.calia@wsj.com<br /><br />(Nathalie Tadena contributed to this story.) 