- Push-out Score determined
- After less than three years in the position
- Chuck Duginski taking over
(exechange) — Oklahoma City, Oklahoma, December 23, 2019 — Earl Reynolds, chief executive of Chaparral, leaves. As announced by Chaparral Energy Inc. in a news release on Monday, December 23, 2019, K.Earl Reynolds leaves his post as Chief Executive Officer at the independent oil and natural gas exploration and production company after less than three years in the role.
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 7.6 years, according to data compiled by exechange. On an accumulated basis, around 25% of the CEOs who announced their departure over the past 12 months left their posts within three years.
The exact date of Earl Reynolds’s departure from his post was not explicitly given in the announcement.
Earl Reynolds’s duties as CEO will be taken over by Charles (Chuck) Duginski, most recently Chief Operating Officer of Tapstone Energy, LLC.
The fact that Earl Reynolds’s successor is brought in from outside suggests that the board may seek to stimulate change with fresh ideas and new initiatives.
In general, an outsider does not have the constraints of an insider when it comes to leading painful changes or making unpopular decisions.
“To pursue other interests”
Earl Reynolds’s departure from the CEO post is explained as follows. Chaparral said: “Chaparral Energy, Inc. (CHAP) today announced that its Board of Directors has appointed Charles “Chuck” Duginski as President and Chief Executive Officer, effective December 20, 2019. Mr. Duginski succeeds K. Earl Reynolds in those roles as Mr. Reynolds has resigned to pursue other interests.”
Precise information regarding Earl Reynolds’s future plans was not immediately available.
Share price decline
The announcement follows a decline in Chaparral Energy Inc.’s share price of 95% since January 2018.
Chaired by Marc Rowland
Chaparral Energy Inc. is chaired by Marc Rowland.
Marcus Rowland joined Chaparral’s Board of Directors in 2019. Rowland is the founder and senior managing director of IOG Capital, LP and the chief executive officer of IOG Resources, LLC.
In the position of CEO since 2017
Earl Reynolds became CEO of the Company in 2017.
K.Earl Reynolds joined Chaparral in 2011 as an executive vice president and chief operating officer before being named as the Company’s president in 2014 and its chief executive officer in 2017.
From 2000 to 2010, Reynolds led the International Business Unit and was actively involved in strategic planning for Devon Energy, most recently serving as senior vice president of strategic development, where he was responsible for strategic planning, budgeting, coordination of acquisitions and divestitures, and oversight of the company’s assessment of oil and gas reserves.
Prior to Devon, Reynolds’ career included several key leadership roles in domestic and international operations with companies such as Burlington Resources and Mobil Oil.
Reynolds has served on the board of directors for several nonprofit organizations in Houston and Oklahoma City.
He currently sits on the board of directors for the Oklahoma City YMCA and the Oklahoma Independent Petroleum Association, where he serves as the Chairman of its Legislative Committee.
Reynolds holds a Master of Science degree in petroleum engineering from the University of Houston and a Bachelor of Science degree in petroleum engineering from Mississippi State University.
In 2013 he was named as a Distinguished Fellow of the Mississippi State University Bagley College of Engineeri.
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 Chaparral and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 52.2019 ($).