- Push-out Score suggests push-out forces
- After eight years in the position
- Praise and thanks for Hughes
- Chris Abate taking over
- Hughes made a lengthy statement and said 66 words
(exechange) — Mill Valley, California, December 4, 2017 — Marty Hughes, chief executive of Redwood Trust, leaves. His departure is made public at an early stage. As announced by Redwood Trust, Inc. in a news release and in a regulatory filing published on Monday, December 4, 2017, Martin S. (Marty) Hughes leaves his post as Chief Executive Officer at the real estate investment trust company after eight years in the position, effective May 22, 2018.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who departed over the past twelve months was 8.7 years, according to data compiled by exechange.
Hughes’ duties will be taken over by Chris Abate, currently President at Redwood Trust, Inc.
The move is a generational change as well. Chris Abate is about 22 years younger than Marty Hughes.
“Entering a new growth phase”
A reason for Hughes’ departure from the CEO post was not explicitly given. Hughes said: “Redwood is entering a new growth phase and now is the right time to make a leadership transition.”
Precise information about Hughes’ future plans was not immediately available.
Redwood Trust said: “Marty Hughes will retire as Chief Executive Officer and as a member of the Board of Directors effective on May 22, 2018.”
Share price decline
The change follows a decline in the share price of Redwood Trust, Inc. since October 2017.
Chaired by Richard D. Baum
Redwood Trust, Inc. is chaired by Richard D. Baum.
Richard D. Baum is Chairman of the Board and has been a director of Redwood since 2001. Baum is currently the President and Managing Partner of Atwater Retirement Village LLC (a private company).
In the position of CEO since 2010
Martin S. Hughes has been the Chief Executive Officer of Redwood Trust Inc. since May 18, 2010.
Marty Hughes has served as Chief Executive Officer since May 2010 and as a director since January 2011.
Hughes served as President from January 2009 to January 2012, Co-Chief Operating Officer from November 2007 to May 2010, Chief Financial Officer from 2006 to April 2010, Treasurer from 2006 to 2007, and Vice President from 2005 to 2007.
Hughes has 20 years of senior management experience in the financial services industry.
From 2000 to 2004, Hughes was the President and Chief Financial Officer for Paymap, Inc. In addition, Hughes served as a Vice President and Chief Financial Officer for Redwood from 1998 to 1999.
Hughes also served as Chief Financial Officer for North American Mortgage Company from 1992 to 1998.
Prior to 1992, Hughes was employed for eight years at an investment banking firm and for four years at Deloitte & Touche.
Hughes has a BS in accounting from Villanova University.
Following his retirement, Hughes will continue to serve in an advisory role at Redwood for a period of two years.
Push-out Score suggests push-out forces
It is not completely certain what forces eventually triggered Marty Hughes’ 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 50.2017 ($).