- Signs for push-out forces
- After around two years on the job
- Maureen Short takes over in the interim
(management-change.com) — Plano, Texas, December 05, 2016 — Guy Constant, finance chief of Rent-A-Center, leaves. It is an abrupt change. As announced by Rent-A-Center, Inc. in a regulatory filing published on Monday, December 05, 2016, Guy J. Constant has already left the post as Chief Financial Officer at the furniture and electronics rent-to-own company in a surprising move after around two years on the job, effective December 02, 2016.
No company wants a CFO to flame out in the first years.
Constant’s duties are taken over in the interim by Maureen B. Short, most recently Senior Vice President – Finance, Investor Relations and Treasury at Rent-A-Center, Inc.
No reason given
In the announcement, Rent-A-Center did not explicitly explain the obviously compelling reason for Constant’s sudden move, opening the door for speculation.
Generally speaking, it is often an alarm signal for stockholders when a CFO leaves the position abruptly and without a reasonable explanation.
Rent-A-Center said: “Guy J. Constant resigned his position as Executive Vice President – Finance, Chief Financial Officer and Treasurer of Rent-A-Center, Inc. … effective as of December 2, 2016.”
Precise information about the future plans of Constant was not immediately available.
Share price decline
The change follows a sharp decline in the share price of Rent-A-Center, Inc. since December 2014.
Chaired by Mark Speese
Rent-A-Center, Inc. is chaired by Mark E. Speese.
Speese has served as Chairman of the Board and Chief Executive Officer since October 2001 and has served as one of Rent-A-Center’s directors since 1990.
Robert D. Davis serves as CEO of Rent-A-Center, Inc. Davis was named Chief Executive Officer effective as of February 1, 2014, after previously serving as Executive Vice President – Finance since February 2008, as Chief Financial Officer since March 1999 and as Treasurer since January 1997.
On the job as CFO since 2014
Constant has served as Executive Vice President – Finance, Chief Financial Officer and Treasurer since June 16, 2014.
Constant was a named executive officer of the Company for the fiscal year ending December 31, 2015.
Constant was previously employed by Brinker International, Inc., serving as Executive Vice President, Chief Financial Officer and President of Global Business Development from January 2013 until March 2014; as Executive Vice President and Chief Financial Officer from September 2010 to January 2013; Senior Vice President of Finance from May 2008 to September 2010; Vice President of Strategic Planning, Analysis and Investor Relations from September 2005 to May 2008; and Senior Director of Compensation from November 2004 to September 2005.
As a general rule, when a top manager announces to step aside with no permanent successor available, it’s a signal that the move was unplanned and too early.
Generally speaking, possible causes for an unplanned change may be, among others, disagreement, urgent family reasons, health reasons or surprising new career opportunities.
Signs for push-out forces
It is not completely certain what forces eventually triggered Guy J. Constant’s move.
The Push-out Score™ determined by management-change.com suggests that push-out forces may have contributed to the management change.
Read the full story in the management-change.com report 46.2016 ($).