- Push-out Score suggests push-out forces
- After almost eight years in the position
- Accolades, praise, thanks and good wishes for McMasters
- Search for a successor
- McMasters made a lengthy statement and said 66 words
(exechange) — Dover, Delaware, September 10, 2018 — Mike McMasters, chief executive of Chesapeake Utilities, leaves. As announced by Chesapeake Utilities Corporation in a news release on Monday, September 10, 2018, Michael P. (Mike) McMasters leaves his post as Chief Executive Officer at the diversified energy company after almost eight years in the role, effective in early 2019.
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.
Chesapeake Utilities will undertake a search for a successor.
No reason given
In the announcement, Chesapeake Utilities did not explicitly explain the reason for McMasters’s move, leaving room for speculation.
Precise information about McMasters’s future plans was not immediately available.
Chesapeake Utilities said: “President and Chief Executive Officer, Michael P. McMasters, has advised the Board of Directors of his intention to retire in early 2019.”
Share price rise since March 2010
The change follows a rise in the share price of Chesapeake Utilities Corporation since March 2010.
Chaired by John R. Schimkaitis
Chesapeake Utilities Corporation is chaired by John R. Schimkaitis.
Schimkaitis, age 70, retired in 2010 from Chesapeake Utilities and is the Company’s immediate past President and Chief Executive Officer. Schimkaitis has served as Chair of the Board of Chesapeake Utilities since 2015 and was Vice Chair of the Board from 2010-2015.
In the position of CEO since 2011
McMasters has served as President and Chief Executive Officer of Chesapeake Utilities Corporation since March 2010 and January 2011, respectively.
McMasters joined the Company in 1980 and since that time has served as Executive Vice President and Chief Operating Officer, Chief Financial Officer, Senior Vice President, Vice President, Treasurer, Director of Accounting and Rates, and Controller.
Under McMasters’ leadership, the Company has grown from a $395 million market capitalization at the end of 2010 to approximately $1.3 billion on December 31, 2017.
In 2013, McMasters was the recipient of the Top Workplace – Top Leadership Award among mid-cap sized companies in Delaware.
He is a member of the Board of the American Gas Association and a member of the Delaware Business Roundtable, which focuses on the business and economic climate of Delaware.
McMasters will remain fully engaged in leading the organization as CEO until his retirement.
He will continue as a member of the Board of Directors and will serve in an advisory capacity to ensure a smooth transition.
Generally speaking, when a top manager announces to step down with no successor available, it is a signal that the change was unexpected and too early.
Push-out Score suggests push-out forces
It is not completely certain what forces eventually triggered Mike McMasters’s move.
The Push-out Score™ determined by exechange suggests that push-out forces may have contributed to the change.
Read the full story in the exechange report 38.2018 ($).