- After about five years in the position
- Jeff Rosica taking over
(exechange) — Burlington, Massachusetts, February 26, 2018 — Louis Hernandez, chief executive of Avid, leaves. It is an abrupt change. As announced by Avid Technology, Inc. in a news release and in a regulatory filing published on Monday, February 26, 2018, Louis Hernandez has left his post as Chief Executive Officer at the technology and multimedia company after about five years in the position, effective February 25, 2018.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who departed over the past 12 months was 9.3 years, according to data compiled by exechange.
Hernandez’s duties will be taken over by Jeff Rosica, most recently President of Avid Technology, Inc.
“Violations of Company policies related to workplace conduct”
Hernandez’s sudden departure from the CEO post is explained as follows. Avid said: “The Company’s Board of Directors has terminated the employment of Louis Hernandez, Jr., former Chief Executive Officer, effective immediately, due to violations of Company policies related to workplace conduct.”
Avid added: “With the assistance of independent external legal counsel, a Special Committee comprising independent members of the Board of Directors conducted a thorough investigation into allegations of improper non-financially related workplace conduct by Mr. Hernandez. After reviewing the findings of the Special Committee’s investigation, the Board of Directors unanimously concluded that the findings warranted immediate termination of Mr. Hernandez’s employment.”
Precise information about Hernandez’s future plans was not immediately available.
Avid said: “On February 25, 2018, the Board of Directors … of Avid Technology, Inc. … voted to terminate the employment of Louis Hernandez Jr., Chief Executive Officer, effective immediately, due to violations by Mr. Hernandez of the Company’s policies related to workplace conduct.”
Share price decline
The change follows a decline in the share price of Avid Technology, Inc. since June 2015.
In the position of CEO since 2013
Louis Hernandez, Jr., was appointed the Company’s President and CEO in February 2013 and Chairman of the Company’s board in October 2014.
He became a director in February 2008 and served as the Company’s lead director from December 2011 until February 2013.
Prior to being appointed the Company’s President and CEO, Hernandez served as chairman of Open Solutions Inc., a provider of enterprise-wide enabling technologies for the financial services marketplace, which was acquired in January 2013 by Fiserv, Inc., and as its Chief Executive Officer from 1999 to 2013.
Hernandez previously also served in various executive roles at RoweCom Inc. and U.S. Medical Instruments, Inc. and as a director and member of the audit and compensation committee of Unica Corporation (UNCA), HSBC North America Holdings Inc., HSBC USA Inc. and HSBC Bank USA, N.A.
Hernandez has a proven track record as a growth-oriented technology executive with expertise in operational execution and results-driven performance in a variety of complex technical fields and has been a principal architect of the Company’s Avid Everywhere strategy.
Hernandez has also resigned from his position on the Avid Board of Directors and Nancy Hawthorne has been elected Chairman of the Board.
Read the full story in the exechange report 10.2018 ($).