- Push-out Score suggests push-out forces
- After almost 12 years in the position
- Accolades, praise and thanks for Lynch
- Search for a successor
- Lynch spoke at length and said 140 words
(exechange) — Tampa, Florida, December 17, 2018 — Fred Lynch, chief executive of Masonite, leaves. As announced by Masonite International Corp. in a news release and in a regulatory filing published on Monday, December 17, 2018, Frederick J. (Fred) Lynch leaves his post as Chief Executive Officer at the maker of interior and exterior doors after almost 12 years in the role, effective by the end of the second quarter of 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 8.9 years, according to data compiled by exechange. Only 35 percent of the CEOs who departed over the past 12 months left the position after more than 10 years.
Masonite will undertake a search for a successor.
“Now is the right time”
Fred Lynch’s departure from the CEO post is explained as follows. Lynch said: “After 12 years as President/CEO of Masonite, given the strong position of the Company and the talented management team we have in place, I believe that now is the right time to initiate this transition of leadership responsibilities.”
Precise information about Fred Lynch’s future plans was not immediately available.
Masonite said: “Masonite International Corporation … today announced that Fred Lynch plans to retire as President and Chief Executive Officer of the Company by the end of the second quarter of 2019. Mr. Lynch also plans to leave the Company’s Board of Directors in connection with his retirement.”
Share price decline
The change follows a decline in Masonite International Corporation’s share price of 33 percent since September 2018.
Chaired by Robert Byrne
Masonite International Corporation is chaired by Robert Byrne.
Robert J. Byrne has served as a Director of Masonite since June 2009 and has been Chairman of the Board of Masonite since July 2010.
In the position of CEO since 2007
Frederick J. Lynch has served as President of Masonite since July 2006 and as President and Chief Executive Officer of Masonite since May 2007.
Lynch has served as a Director of Masonite since June 2009.
Lynch joined Masonite from Alpharma Inc., where he served as President of the human generics division and Senior Vice President of global supply chain from 2003 until 2006.
Prior to joining Alpharma Inc. in 2003, Lynch spent nearly 18 years at Honeywell International Inc. (formerly AlliedSignal Inc.), most recently as vice president and general manager of the specialty chemical business.
Lynch is a founding Director and Chief Financial Officer of the Michael Lynch Memorial Foundation, a non-profit organization that provides college scholarships to children of firefighters and victims of 9/11.
Generally speaking, when a top leader announces to step down with no successor in place, it is a signal that the move was unplanned and too early.
Push-out Score suggests push-out forces
It is not completely certain what forces eventually triggered Fred Lynch’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 52.2018 ($).