Summary
This 8-K filing from O'Reilly Automotive, Inc. (ORLY) details significant changes in its executive leadership structure, set to take effect at the beginning of 2022 and with Mr. Shaw's retirement in February 2022. The primary focus is the planned retirement of Co-President and Chief Operating Officer Jeff Shaw and the subsequent promotions and role realignments for key executives Brad Beckham and Brent Kirby. These changes are designed to ensure a smooth leadership transition and continued operational efficiency as the company moves forward.
Key Highlights
- 1Jeff Shaw, Co-President and Chief Operating Officer, will retire on February 15, 2022.
- 2Effective January 1, 2022, Brad Beckham will be promoted to Executive Vice President and Chief Operating Officer, overseeing Store Operations and Sales.
- 3Effective January 1, 2022, Brent Kirby will be promoted to Executive Vice President and Chief Supply Chain Officer, responsible for Distribution Operations, Inventory Management, Merchandise, Pricing, and Advertising/Marketing.
- 4Upon Mr. Shaw's retirement in February 2022, Greg Johnson's title will change from Co-President and Chief Executive Officer to President and Chief Executive Officer.
- 5Both Mr. Beckham and Mr. Kirby will report to CEO Greg Johnson.
- 6New compensation details for Mr. Beckham and Mr. Kirby include annual base salaries of $600,000, eligibility for performance incentives, and significant stock option awards.
Frequently Asked Questions
O'Reilly Automotive announced the upcoming retirement of Co-President and Chief Operating Officer Jeff Shaw, effective February 15, 2022. Brad Beckham will be promoted to Executive Vice President and Chief Operating Officer, and Brent Kirby will be promoted to Executive Vice President and Chief Supply Chain Officer, both effective January 1, 2022. Following Mr. Shaw's retirement, CEO Greg Johnson will have his title adjusted to President and Chief Executive Officer.
Brad Beckham, as the new Executive Vice President and Chief Operating Officer, will be responsible for all domestic and international Store Operations and Sales. Brent Kirby, as the new Executive Vice President and Chief Supply Chain Officer, will oversee Distribution Operations, Inventory Management, Merchandise, Pricing, and Advertising/Marketing.
Brad Beckham and Brent Kirby will each receive an annual base salary of $600,000. They will remain eligible for the company's annual performance incentive compensation plan with a target of 80% of their base salaries. Additionally, they will receive stock option awards with a grant date fair value equal to 100% of their base salaries, plus a separate position level stock option award valued at $1,000,000 each, to be granted on January 3, 2022.