- Push-out Score determined
- After about two years in the position
- Thanks for Scharf
- Todd Gibbons taking over in the interim
(exechange) — New York, September 27, 2019 — Charlie Scharf, chief executive of BNY Mellon, leaves. As announced by Bank of New York Mellon Corp. in a news release and in a regulatory filing published on Friday, September 27, 2019, Charles W. (Charlie) Scharf has left his post as Chief Executive Officer at the business bank after about two years in the role, effective September 26, 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 announced their departure over the past 12 months was 7.3 years, according to data compiled by exechange. On an accumulated basis, around 26% of the CEOs who announced their departure over the past 12 months left their posts within three years.
Charlie Scharf’s duties as CEO will be taken over in the interim by Thomas P. (Todd) Gibbons, most recently Vice Chairman and CEO of Clearing, Markets and Client Management of The Bank of New York Mellon Corporation, as interim Chief Executive Officer.
Scharf will be CEO at Wells Fargo
The Board of Directors of Wells Fargo & Company announced that it has named Charles W. Scharf as the company’s chief executive officer and president, and a member of the Board of Directors, effective October 21.
Wells Fargo announced the move on Friday, September 27, 2019.
Wells Fargo is a multinational financial services company.
“Step down/resigned”
BNY Mellon said that Charles W. Scharf “informed the Board of his decision to step down from his CEO and Board roles.”
BNY Mellon further said: “Mr. Gibbons succeeds Charles W. Scharf, who resigned as Chief Executive Officer of the Company, Chairman of the Board and as a director of the Company, and as Chief Executive Officer of the Bank and BNY Mellon, National Association, effective as of September 26, 2019.”
Share price decline
The announcement follows a decline in The Bank of New York Mellon Corporation’s share price of 10% since July 2017.
In the position of CEO since 2017
Charlie Scharf became CEO of the Company in July 2017.
Scharf served as the Chief Executive Officer and a director of Visa Inc. from 2012 to 2016.
Prior to that, Scharf served in several senior positions at JPMorgan Chase & Co. (from 2004 to 2011), Bank One Corporation (from 2000 to 2004), and Citigroup Inc. and its predecessors (from 1987 to 2000).
Scharf is a trustee of Johns Hopkins University and is Chairman of the New York City Ballet.
Scharf received a Bachelor of Arts degree from Johns Hopkins University and an M.B.A. from New York University.
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 BNY Mellon and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 39.2019 ($).