It's the end of an era for Dallas, Texas-based Builders FirstSource.
The company announced that CEO Floyd Sherman, 78, has announced his resignation next year, effective January 1, 2018.
As part of the succession plan, chairman Paul Levy confirmed that Chad Crow, currently president and COO, will then assume the role of president and CEO.
“Today we are formally announcing the transition of Builders FirstSource leadership," said Levy. "Floyd's stewardship of Builders FirstSource began in 2001, only a few short years after the company was founded, when Builders FirstSource was at a critical point in its development. Floyd's vision, leadership and execution were instrumental in creating the business we have today."
"Through his 16 years of leadership, Floyd has effectively guided Builders FirstSource through industry downturns, numerous business changes and the successful acquisition and integration of ProBuild, and, today, we announce this transition at a time when the company is producing record results," added Levy. "We owe a great debt to Floyd for his brilliant leadership and his unwavering determination to make our company the success it is today. We are very pleased that he will remain on the Board of Directors through May 2018, and serve as an employee advisor to the company through March 2019."
Commenting on the transition, Mr. Sherman remarked, “I could not be more proud of what we have built at Builders FirstSource. I am confident in Chad Crow’s leadership, and know I am leaving the company in very capable hands. Over Chad’s 18 year tenure, he has been involved in all aspects of our operations, including serving as CFO for seven years and COO the past three years. He was instrumental in taking the company public, guiding us through the worst housing downturn in history, and setting Builders FirstSource on a positive growth trajectory. His extensive industry experience, knowledge of our operations, and respect for our people, will be invaluable assets as the company implements its growth strategy in the coming years.”