Business World

Jes Staley is taking over as head of investment banking at JPMorgan Chase & Co, in line to succeed Jamie Dimon as chief executive of the No. 2 U.S. bank.

“With the credit crisis largely behind us and the economy recovering, the timing was right to begin the succession process,” Dimon said in a statement Tuesday.

Staley, 53, who joined the bank in 1979, returns to the investment banking unit after stints at JPMorgan’s private bank and asset management operation.

JPMorgan said Bill Winters, 48, co-CEO of investment banking, is leaving the company.

The other co-CEO, Steve Black, 57, becomes executive chairman of the investment bank to oversee the transition to Staley as the new CEO.

Staley will report to Black, who will work through a transition period until the end of 2010, the bank said.

Mary Callahan Erdoes, 42, chief executive of JPMorgan’s private bank, succeeds Staley as head of asset management.

Winters and Black were deeply involved in the acquisition and integration of Bear Stearns Cos.

JPMorgan shares were up about 5 cents in premarket trading at $44.86.

(Reporting by Elinor Comlay; Editing by Derek Caney and John Wallace)

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