July 30, 2010 –   (Recasts first paragraph, adds details, quotes throughout)

LOS ANGELES (Reuters) - The ABC television network Friday named company veteran Paul Lee as president of its entertainment group to oversee prime-time programming following the abrupt resignation of Steve McPherson earlier this week.

The appointment of Lee, who had been president of the company's cable TV network ABC Family, was widely expected following McPherson's departure Tuesday, and it precedes ABC's presentation of new programs this coming Monday at the annual Television Critics Association meetings in Los Angeles.

Anne Sweeney, co-chairman of Walt Disney Co's Disney/ABC Television Group, said in a statement that Lee would have oversight of all creative and business operations for ABC Studios, as well as all development, programming, marketing and scheduling operations for ABC Entertainment.

In more than six years at the helm of ABC Family, Lee guided audience growth each year, and the network now ranks among the top 10 cable operations in terms of total viewers. It is in the top five in several key groups including teenagers and women ages 18 to 34 years-old, according to ABC.

McPherson announced his resignation after failing to develop many new hit programs to replace ABC's aging shows.

Despite shepherding shows such as "Desperate Housewives" and "Lost" to top ratings early in his tenure at ABC, McPherson saw the network tie for third place with General Electric Co's NBC among the key viewer group of adults 18 to 49 years-old this past season, which ended in May.

ABC also finished third in total viewers at the end of the TV season. The network drew an average nightly audience of 8.7 million, down three percent from the previous year. (Reporting by Jill Serjeant; Editing by Bob Tourtellotte and Carol Bishopric)