Just under two weeks after Aaron’s posted disappointing second-quarter results, the company is seeking a new CEO. Ronald W. Allen, 72, plans to retire as the company’s CEO and will be stepping down from the board of directors, effective August 31, 2014.
The board has retained Spencer Stuart, a leading executive recruiting firm, to assist in the process of identifying Allen's successor. The search process will include a full review of both internal and external candidates, the company said.
"It has been a privilege to lead the finest associates in the industry, whose commitment, integrity and ingenuity never cease to impress me," said Allen. "With the plans we have in place to deliver improved results in our core business and the transformational acquisition of the fast-growing virtual RTO Progressive business, I believe that we have a strong platform for long-term growth, and I am confident in the company's future. Having served on the Aaron's Board since 1997 and as CEO since February 2012, I am now looking forward to the next chapter of my life with more time for family and the opportunity to pursue other avenues for my personal and professional growth."
"We want to thank Ron for his commitment and many contributions to Aaron's, including his role in successfully completing the acquisition of Progressive Finance,” Ray Robinson, Aaron's chairman of the board, said. “Under his leadership, we have strengthened our management team and operating practices and procedures, and believe the corporate infrastructure is now in place to enable Aaron's to build on its strong foundation for growth. We believe we are well positioned for the future and look forward to identifying a new leader who will leverage the Company's broad retail footprint, leadership in virtual RTO and strong franchisee relationships to drive results. We wish Ron the best in his future endeavors."
Aaron's currently offers its services through more than 2,100 company-operated and franchised stores in 48 states and Canada.