- Push-out Score determined
- After about 15 years in the position
- Praise, thanks and good wishes for Fritsch
- Ted Klinck taking over
- Fritsch spoke at length and said 154 words
(exechange) — Raleigh, North Carolina, July 1, 2019 — Ed Fritsch, chief executive of Highwoods Properties, leaves. As announced by Highwoods Properties Inc. in a news release and in a regulatory filing published on Monday, July 1, 2019, Edward J. (Ed) Fritsch leaves his post as Chief Executive Officer at the real estate investment trust after about 15 years in the role, effective September 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 7.4 years, according to data compiled by exechange. Only 9 percent of the CEOs who departed over the past 12 months left their position after more than 15 years.
Ed Fritsch’s duties as CEO will be taken over by Theodore J. (Ted) Klinck, currently President and Chief Operating Officer of Highwoods Properties, Inc.
Ed Fritsch’s move is part of a management shake-up also involving the positions of Executive Vice President of Finance and Investor Relations; and Executive Vice President and Chief Operating Officer.
“Long-term succession planning activities”
The management change is explained as follows. Highwoods Properties said: “As part of the Company’s long-term succession planning activities and upon Mr. Fritsch’s recommendation, the Company’s Board of Directors has appointed Mr. Klinck as President, CEO and director effective September 1, 2019.”
Precise information regarding Ed Fritsch’s future plans was not immediately available.
Highwoods Properties said: “Ed Fritsch, 60, will retire as Chief Executive Officer and member of the Board of Directors effective September 1, 2019.”
Share price increase since July 2004
The announcement follows an increase in Highwoods Properties, Inc.’s share price of 78 percent since July 2004.
Chaired by Carlos Evans
Highwoods Properties, Inc. is chaired by Carlos Evans.
Evans was elected to the Board in January 2015. He is Chair of the Board and the Compensation/Governance Committee and a member of the Executive Committee.
In the position of CEO since 2004
Fritsch, who first joined Highwoods in 1982 at the age of 23, was a partner in the predecessor firm before its IPO in June 1994.
Fritsch served as the Chief Operating Officer of Highwoods from January 1998 to July 2004 and was Vice President of Operations and Secretary from June 1994 to January 1998.
He joined the Board in 2001, became the Company’s President in December 2003 and CEO in July 2004.
Fritsch recently concluded a seven-year term on the executive board of the National Association of Real Estate Investment Trusts (“NAREIT”), including serving as its chair in 2016.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the pressure surrounding the management change on a scale of 0 to 10.
exechange reached out to Highwoods Properties and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 27.2019 ($).