Jay Nutt has stepped down as CFO of ChampionX, with effect from February 1, 2021. He is replaced by Ken Fisher, a non-executive director and former CFO of Noble Energy, until its acquisition by Chevron last year.
ChampionX was formed , in June 2020, from the all-stock merger of Apergy and the Champion division of Ecolab. Apergy is primarily involved in Artificial Lift while Champion primarily manufactured oilfield chemicals.
Mr. Nutt was the CFO of Apergy prior to the merger. He joined the company in March 2018, just before Apergy was spun off from Dover Corporation. Prior to that, he was the Corporate Controller at TechnipFMC (who announced a CFO change of their own last week).
Because of the merger last June, Mr. Nutt’s resignation is deemed a ‘termination for good reason’ following a change of control. That means he will get a cash payment of $1.7 million (2x base salary plus 2x annual bonus). In addition, all his restricted stock will vest. At the time of the merger, that was valued at another $1.7 million. Mr. Nutt will also be retained as a consultant through June 2021 at $40,833 a month.
Mr. Fisher joined the board of Apergy in April 2018. He became the CFO of Noble Energy in 2009. Prior to that, he was at Shell and General Electric. Mr. Fisher will receive a base salary of $590,000.
SEC filing – ChampionX CFO change
Ben Atkins has submitted his resignation as the CFO of NextDecade. He has been replaced by Brent Wahl, who joined the company in June 2019 and is currently the Senior VP of Finance.
The company is based in downtown Houston and is trying to build a LNG terminal in Brownsville, Texas. NextDecade went public in July 2017 via a reverse takeover of a blank check company.
The company has received permits from the Federal Government for the terminal but won’t start construction until it has signed long-term contracts with customers. Currently, the company has enough cash to last it through the end of this year.
So far, the company has only a 20-year contract with Shell, covering about 20% of the proposed output. Late last year, Engie, a French company, delayed making a decision on a proposed contract with NextDecade. The French government, which owns 24% of Engie, wants the Engie to source cleaner energy. The company suffered another blow last week when Ireland dropped a plan to build a terminal in Cork that would have imported LNG from the proposed Brownsville facility.
Mr. Atkins had been the CFO since November 2015. Prior to that he worked for GE Capital and McKinsey.
Before joining NextDecade, Mr. Wahl was the Head of Midstream Investment Banking for North America at Macquarie Group. He spent nine years there, working on raising finance for LNG facilities in North America.
Mr. Atkins will receive a base salary of $350,000.
SEC filing – NextDecade CFO
Alf Melin has been appointed the new CFO of TechnipFMC. He replaces Maryann Mannen, who is leaving to become the CFO at Ohio-based Marathon Petroleum Corporation.
TechnipFMC is in the process of splitting into two publicly-traded companies by hiving off Technip Energies, its Engineering & Construction business. The product business will be based in Houston, while the Energies business will have its head office in Paris.
Mr. Melin has been with the company since 1995 and is currently the Senior VP of Finance Operations. He has has direct oversight of the finance operations of the Subsea segment, He has held various operational roles and is a graduate of Lund University in Sweden. No compensation details were disclosed.
Ms. Mannen joined FMC Technologies in 1986 and was its CFO between March 2014 and January 2017. After FMC merged with Technip, she became the CFO of the combined business. At Marathon, she will receive a base salary of $925,000, a raise on her $803,000 base at TechnipFMC.
Marathon Petroleum is a downstream energy business owning refineries and the Speedway retail convenience stores. In 2011 it was spun out of its former parent, Marathon Oil, which is now an upstream exploration and production company, based in Houston.
SEC filing – TechnipFMC CFO
Julian Bott, the CFO of Southwestern Energy, has died suddenly after experiencing a sudden non-COVID related medical condition.
The E&P company has its head office in Spring. It has its operations in the Marcellus shale region in Appalachia. Mr. Bott joined the company as CFO in February 2018, having previously been the CFO at Sandridge Energy, based in Oklahoma City.
Southwestern has appointed Michael Hancock, currently VP Finance and Treasurer, as its interim CFO. He joined the company in 2010.
Goodrich Petroleum has appointed Kristen McWatters to be its new CFO. She replaces Robert Barker, who is retiring. Mr. Barker joined the company in 2007 and had been CFO since 2017.
Goodrich has its head office in downtown Houston. It operates primarily in the Haynesville Shale Basin that straddles East Texas and Louisiana. The company has a market capitalization of $138 million.
The company was formed in 1975 and went public via a reverse takeover of Patrick Petroleum in 1995. In 2016, the company went through bankruptcy, converting $400 million of debt into equity.
Ms. McWatters joined the company in 2017 and has been its Controller since March 2020. She started her career at KPMG and has also worked at Southwestern Energy and Spark Energy, two Houston-based publicly-traded companies.
Ms. McWatters will receive a base salary of $200,000.
SEC filing – Goodrich – CFO appointment
Spirit of Texas Bancshares has appointed Allison Johnson as its new CFO. She has been serving as the interim CFO since Jeff Powell died unexpectedly in January.
The company has its head office in Conroe, TX. It operates 38 full-service branches in Texas. It went public in May 2018 and has a market capitalization of $283 million.
Allison Johnson joined the company as its Chief Accounting Officer in 2016. Prior to that, she worked at Florida Community Bank in 2016. She started her career at PricewaterhouseCoopers.
No compensation arrangements for Ms. Johnson were disclosed.
SEC filing – Spirit of Texas CFO appointment
Sysco Corporation has appointed Aaron Alt as its new CFO. He replaces Joel Grade, who moves to Executive Vice President, Business Development.
Sysco, which has its head office in west Houston, has sales of $52 billion and 57,000 employees. Its market capitalization is $38 billion.
Mr Alt joins from Sally Beauty Holdings in Dallas, where he had been CFO since October 2018. Prior to that he spent six years in various roles at Target and eight years at Sara Lee Corporation. Mr Alt will receive a base salary of $775,000 and a one time cash sign-on bonus of $365,000.
Mr Grade, who joined the company in 1996 and had been the CFO for five years, will continue to receive a base salary of $690,000 in his new role. The BD role will be primarily focused on mergers and acquisitions.
Sysco has been making a number of changes since former CEO, Thomas Bené was jettisoned after two years in the role, in January 2020, with a $6 million cash severance. At the time, the Board, which includes activist investor Nelson Peltz, announced that the company needed to ‘accelerate performance, fully capitalize on scale advantages and drive meaningful operating improvements’.
- New CEO Kevin Hourican joined from CVS Health. He got over $16 million in cash and equity awards to compensate for forfeited equity from CVS.
- Last month, the company announced that Michael Foster, the Chief Information and Technology Officer, who only joined the company in December 2019, will leave at the end of the year. He will get a $1.3 million severance (2x base salary).
- At the same time, Judy Sansone joined from CVS Health as Chief Commercial Officer.
- Tim Ørting joined in September as President of the International Operations.
- Marie Robinson joined in March 2020 as Chief Supply Chain Officer.
Understandably, top line sales have dropped dramatically due to the pandemic. In the April-June quarter, sales dropped 42%. In the most recent quarter it was a 23% decline.
SEC filing – Sysco CFO
Houston Wire and Cable has removed the interim tag off Eric Davis. He had been interim CFO since June when Chris Micklas left to join a start-up company.
Houston Wire is a distributor of electrical and mechanical wire and cable with revenues of $340 million. Approximately a third of its revenues come from the energy sector. It has a market capitalization of $46 million. The company has its head office near the 610/I-10 interchange on the east side.
Mr Davis joined the company in 1993 and initially spent 14 years as the Controller of the company. Prior to being appointed CFO, he was the President of the Heavy Lift division.
He will receive a base salary of $265,000.
You can see the complete list of Houston public companies and their CFO’s on my blog here
Houston Wire and Cable – Davis appointment
Ryan Stash has been appointed the new CFO at Evolution Petroleum. He replaces David Joe who has been at the company since 2005 and has been CFO since January 2016.
Evolution is an small E&P company with its head office in west Houston. It has an interest in the Delhi field in Northeast Louisiana, and an interest in the Hamilton Dome field in Wyoming. The company has a market capitalization of $72 million. It has no debt and $20 million of cash on hand.
Mr Stash joins from Harvest Oil & Gas where he had been CFO since October 2018. Prior to that, he spent eleven years in the Energy Investment Banking Group of Wells Fargo Securities. He will receive a base salary of $265,000.
According to the SEC filing, Mr Joe and the Board ‘agreed to the terms of his retirement as the Chief Financial Officer, effective December 31, 2020’. However, those terms were not disclosed in the filing. The annual proxy statement, filed last week, states that there are no employment agreements for executive officers.
SEC filing – Evolution CFO
US Physical Therapy has appointed Carey Hendrickson as its new CFO. He replaces Larry McAfee, who is retiring.
The company operates 551 outpatient physical therapy clinics in 39 states as well as managing 32 physical therapy facilities for third parties. It also has a industrial injury prevention division. The company has its head office in west Houston and has a market capitalization of $1 billion.
In March and April, many of its clinics were closed. At the lowest point in mid-April, visits were about 45% of pre-pandemic levels. By August, they were at 85%, The company cut costs aggressively through salary reductions, furloughs and rent deferrals. It increased its EBITDA in Q2 over Q1, despite revenues being down nearly 30%.
Mr Hendrickson joins from Capital Senior Living Corporation, a publicly-traded company based in Dallas (market cap $20 million), where he was CFO. Prior to joining them in 2014, he was the CFO at Belo Corp, the operator of television stations. Mr Hendrickson will receive a base salary of $450,000. He also received a grant of stock worth $400,000 that will vest over four years.
Mr McAfee has been CFO since joining the company in 2003. He originally announced his intention to retire back in January 2020 but later deferred the intended retirement date because of the pandemic. He will stay on until the Annual Meeting in December, at which point he will resign from the Board. Mr McAfee will then enter into a six month consulting agreement where he will be paid an hourly rate, on an as-needed basis.
SEC filing – US Physical Therapy new CFO