- After about a year in the position
- Thanks and good wishes for Sloat
- Ben Fowke taking over temporarily
- Search for a successor
(exechange) — Columbus, Ohio, February 26, 2024 — Julie Sloat, chief executive of American Electric, leaves her position. As announced by American Electric Power Co. in a news release and in a regulatory filing published on Monday, February 26, 2024, Julie A. Sloat has left her post as chief executive officer at the electric utility, after about a year in the role, effective February 25, 2024.
Generally speaking, it raises questions when a CEO leaves her post abruptly and after a short tenure.
Sloat leaves the company effective April 8, 2024.
American Electric will undertake a search for a successor.
Julie Sloat’s duties as CEO will be taken over temporarily by Benjamin G.S. (Ben) Fowke, a former chairman and CEO at Xcel Energy, Inc., as Interim Chief Executive Officer.
Already a director
Fowke has already been a member of the board of directors of American Electric. Generally speaking, most director-turned-CEO appointments occur following a sudden resignation of the outgoing CEO and signal a lack of preparedness on the company’s part to groom internal talent. Directors-turned-executives represent a blend of outsider and insider.
They don’t have the constraints of a pure insider when it comes to leading painful changes or making unpopular decisions, and they have more company knowledge than a pure outsider.
Having been a director, Fowke understands the expectations and dynamics of the board and has knowledge of American Electric’s organization, risk-management practices and strategy.
In addition, the Board has appointed its lead director, Sara Martinez Tucker, as chair.
“Discussions”
The management change is explained as follows. American Electric stated: “The Board determined, based on discussions with Sloat, that it is time to identify a new CEO to lead the company’s next chapter. This decision was not a result of any disagreement with Sloat regarding AEP’s operations, policies or financial performance, and was not made for cause or related to any ethical or compliance concern.”
Precise information regarding Julie Sloat’s future plans was not immediately available.
“Remove”
American Electric said: “Fowke succeeds Julie A. Sloat.”
American Electric further said: “On February 20, 2024, following discussions with Julia A. Sloat, Chair, Chief Executive Officer and President of American Electric Power Company, Inc. (“Company”), the Board of Directors (the “Board”) of the Company determined to remove Ms. Sloat from her roles as Chair, Chief Executive Officer and President of the Company, effective February 25, 2024.”
Share price decline since January 2023
The announcement follows a decline in American Electric Power Co.’s share price of 13% since January 2023. January 2023 is the month in which Sloat’s tenure as CEO began.
In the position of CEO since 2023
Julie Sloat became CEO of the Company in 2023.
Sloat will remain with the Company through April 8, 2024 to support an orderly transition.
Her bio reads as follows:
- Elected President of AEP in August 2022 and chief executive officer effective January 1, 2023.
- President and chief financial officer of AEP from August 2022 to November 2022, and executive vice president and chief financial officer from January 2021 to August 2022.
- Senior vice president – Treasury and Risk from January 2019 to December 2020 and from January 2013 to May 2016.
- President and chief operating officer of AEP Ohio from May 2016 to December 2018.
No statement by Julie Sloat
In the release announcing her departure as CEO of American Electric Power Co., Julie Sloat received thanks and good wishes.
The announcement of her departure as CEO does not include a statement by Julie Sloat.
The above text is an excerpt from the exechange report 10.2024 ($), publication date March 4, 2024.