- Push-out Score suggests push-out forces
- Willie Chiang taking over
- Armstrong will remain as non-executive Chairman at Plains All American
- Armstrong spoke at length and said 224 words
(exechange) — Houston, Texas, November 06, 2017 — Greg Armstrong, chief executive of Plains All American, leaves. His departure is made public at an early stage. As announced by Plains All American Pipeline, L.P. in a news release and in a regulatory filing published on Monday, November 06, 2017, Gregory L. (Greg) Armstrong leaves the post as Chief Executive Officer at the midstream energy company after around 20 years in the position, effective December 31, 2018.
It is the end of an era.
It is a long goodbye. The announcement of Armstrong’s move comes up to 14 months prior to his planned departure from the post of CEO.
In general, a top executive who announces the departure very early may be considered a lame duck.
Armstrong’s duties are taken over by Willie Chiang, currently Chief Operating Officer — U.S. at Plains All American Pipeline, L.P.
“Several years of thoughtful preparation and succession planning”
Armstrong’s departure from the post of CEO is explained as follows. Armstrong said: “The plans announced today reflect several years of thoughtful preparation and succession planning, which we view as a process versus an event at a point in time.”
Armstrong will remain as non-executive Chairman at Plains All American
“Armstrong will continue as non-executive Chairman of the Board of Directors through December 2019, at which time he will retire from the Board. Harry Pefanis will continue as President and a Director,” Plains All American said.
Plains All American said: “Greg L. Armstrong’s plans to retire as Chief Executive Officer of Plains All American Pipeline, L.P. and Plains GP Holdings, L.P. at the end of 2018.”
Share price decline
The change follows a decline in the share price of Plains All American Pipeline, L.P. since September 2014.
In the position of CEO since 1998
Armstrong has served as Chairman of the Board and Chief Executive Officer of the governing entity of PAA since its formation in 1998.
Armstrong joined Plains Resources, a predecessor to PAA, in 1981.
Prior to being elected CEO of Plains in 1992, Armstrong served in a variety of positions including President and COO and Chief Financial Officer.
Armstrong currently serves as Deputy Chairman of The Federal Reserve Bank of Dallas and Chairman for the National Petroleum Council.
He is a director of National Oilwell Varco Inc. and is also a member of the Advisory Board of the Cox School’s Maguire Energy Institute at Southern Methodist University and the Board of Trustees of The Foundation for The Council on Recovery.
Push-out Score suggests push-out forces
It is not completely certain what forces eventually triggered Greg Armstrong’s move.
The Push-out Score™ determined by exechange suggests that push-out forces may have contributed to the management change.
Read the full story in the exechange report 46.2017 ($).