Keith Jennings, CFO of Weatherford International, is out after less than two years with the company. His last day will be July 31. The company has begun an executive search for his replacement.
Weatherford filed for bankruptcy in July 2019, emerged in December 2019 and relisted its shares on Nasdaq in June 2021. At the time of the relisting, its share price was $12.81. It is now $31, giving it a market capitalization of over $2 billion.
The company still has over $2 billion in net debt, but it has had some success in moving away on high volume, low margin business. This is evidenced by its gross margin percentage of 27% being the highest since 2011.
Mr Jennings joined from Calumet Specialty Products Partners in September 2020, where he was CFO. Earlier in his career he spent seven years as VP and Treasurer at Cameron International, leaving a few months after its takeover by Schlumberger.
Six weeks after Mr. Jennings started, Girish Saligram was appointed CEO.
Mr. Jennings had a base salary of $500,000. He will receive a cash severance of almost $1.8 million (1.5 times base salary and target bonus, plus pro-rated bonus for 2022). In addition, according to the annual proxy filed last month, $5 million of restricted stock awarded to Mr. Jennings will also vest.
Calumet is based in Indianapolis, so Weatherford gave Mr Jennings a relocation allowance of $150,000. He also received $500,000 as a sign-on bonus.