Waddell & Reed Financial said on Thursday that Keith A. Tucker has stepped down from the positions of chairman of the board and chief executive officer.
In keeping with emerging best practices in corporate governance, the position of chairman of the board is now separated from that of chief executive officer. The company's president, Henry J. Herrmann, will be chief executive. Alan W. Kosloff, an independent member of the board of directors, will be the board's independent, non-executive chairman.
Tucker will continue to work at Waddell & Reed as a consultant for eight years, and during that time, will also serve as a non-voting emeritus member of the board.
"For some time now, I have been devoting significant energy toward resolving matters involving major litigation," Tucker said. "Now that these matters have been essentially resolved, I am comfortable that as I move on to new challenges, Waddell & Reed is on the right path. As a shareholder and as a professional long associated with this company, I am confident in the firm's future success."
Between 1991 and Waddell & Reed's IPO in 1998, Tucker was vice chairman of the board of Torchmark Corp., a diversified insurance and financial services holding company and former parent company of Waddell & Reed. Prior to joining Torchmark, Tucker was a partner in a private investment concern involved in middle market leveraged acquisitions and management of diverse businesses.
Herrmann, 62, joined Waddell & Reed in 1971 and was named chief investment officer in March 1987, and a director and president of the company when it became public in March 1998.
Kosloff, 64, has been a director of the company since January 2003. He has served as chairman of Kosloff & Partners, LLC, a consulting and investment firm, since April 1996. Previously, Kosloff served as chairman of Jones & Mitchell, an imprinting and licensed sportswear company and chairman, chief executive officer and president of American Marketing Industries, an apparel manufacturing, distribution and marketing firm, from 1976 to 1995.