- Push-out Score suggests push-out forces
- After almost 12 years in the position
- Praise for Sands
- Bill Newlands taking over
- Sands will remain as executive chair at Constellation Brands
- Sands kept it short and said 60 words
(exechange) — Victor, New York, October 17, 2018 — Rob Sands, chief executive of Constellation Brands, leaves his post. His departure is made public at an early stage. As announced by Constellation Brands, Inc. in a news release and in a regulatory filing published on Wednesday, October 17, 2018, Robert S. (Rob) Sands leaves his post as chief executive officer at the beverage alcohol company after almost 12 years in the role, effective March 1, 2019.
It is the end of an era.
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 9.1 years, according to data compiled by exechange. Only 36 percent of the CEOs who departed over the past 12 months left the position after more than 10 years.
Sands’s duties will be taken over by William A. (Bill) Newlands, currently chief operating officer of Constellation Brands, Inc.
No reason given
In the announcement, Constellation Brands did not explicitly explain the reason for Sands’s move, leaving room for speculation.
Sands will remain as executive chair at Constellation Brands
“In addition, on March 1, 2019, Robert Sands, who is currently Chief Executive Officer of the Company, will assume the role of executive chair, and Richard Sands, who is currently executive chair, will assume the role of executive vice chair. As a result of these changes, the Company will no longer have a Chief Operating Officer,” Constellation Brands said.
Constellation Brands said: “Bill Newlands will assume the role of president and chief executive officer (CEO), succeeding current CEO Rob Sands, on March 1, 2019.”
Share price rise since April 2012
The change follows a rise in the share price of Constellation Brands, Inc. since April 2012.
“The Wall Street Journal” noted that during Sands’s 11-year tenure as CEO, Constellation’s total shareholder return surged 967% compared with a 141% return for the S&P 500 index.
Chaired by Richard Sands
Constellation Brands, Inc. is chaired by Richard Sands.
He was elected Chairman of the Board in September 1999. He served as Chief Executive Officer from October 1993 to July 2007; as President from May 1986 to December 2002; as Chief Operating Officer from May 1986 to October 1993; and as Executive Vice President from 1982 to May 1986.
In the position of CEO since 2007
Robert Sands was appointed Chief Executive Officer in July 2007 and also served as President from December 2002 to February 2017.
Sands also served as Chief Operating Officer from December 2002 to July 2007; as Group President from April 2000 through December 2002; as Chief Executive Officer, International from December 1998 through April 2000; as Executive Vice President from October 1993 through April 2000; as General Counsel from June 1986 to May 2000; and as Vice President from June 1990 through October 1993.
Sands is the brother of Richard Sands, the Company’s Chairman of the Board, and a son of the Company’s founder, the late Marvin Sands.
He is also a significant stockholder of the Company.
Push-out Score suggests push-out forces
It is not completely certain what forces eventually triggered Rob Sands’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 43.2018 ($).