TUCSON, Ariz., May 11, 2015 /PRNewswire/ -- The Providence
Service Corporation (Nasdaq: PRSC) today announced Chief Executive
Officer Warren Rustand has informed
the Providence Board of Directors
that he will be stepping down from his role as the CEO and as a
Board Director. Providence's
Chairman, Chris Shackelton, will
assume the CEO role on an interim basis until a replacement is
named. A transition of Mr. Rustand's responsibilities as CEO
has commenced, with a formal title change anticipated to occur on
June 1, 2015. The Providence Board has engaged Heidrick &
Struggles International, Inc. to conduct a broad and comprehensive
search for a full time CEO replacement. The search is
expected to be completed over the next few months. Mr.
Rustand has agreed to remain with the Company as a Senior Advisor
for the remainder of 2015.
Commenting on Mr. Rustand's decision to step down from his role
as CEO, Mr. Shackelton stated, "Warren has given 10 years of
excellent service to Providence as
a Board member. In 2012, at the Board's request, Warren
agreed to step in as CEO. As CEO, Warren rolled up his
sleeves and led the Company through a challenging and
transformative period. Providence is undoubtedly a better, stronger
Company thanks to Warren. The Board is supportive of Warren's
desire to take a step back and appreciative of his leadership and
contributions."
Kristi Meints, a Board Member
since 2003, added, "Warren has been discussing this transition with
the Board for several months, and we are grateful for his
willingness to remain involved with the Company as a Senior
Advisor. Given Providence's holding company structure, with
an experienced corporate leadership team and strong CEOs at our
portfolio companies, we do not anticipate any disruption over the
interim period. Furthermore, Warren's on-going role as a
Senior Advisor combined with Chris's deep familiarity with the
operations and management throughout the Company provide a stable
foundation from which to lead Providence."
Mr. Rustand added, "I am grateful to Providence's shareholders, board, and
employees for having allowed me to serve as CEO over the past two
and a half years. It has been a privilege to work with
thousands of talented colleagues across multiple countries. I
am proud of the Company and the culture we have created
together. I look forward to supporting the Company for the
remainder of the year as a Senior Advisor and helping to facilitate
a smooth transition to Chris as interim CEO and ultimately to a
permanent CEO."
About Providence
Providence is a Tucson, Arizona-based company that provides
and manages government sponsored human services, innovative global
employment services, comprehensive health assessment and care
management services, and non-emergency transportation
services. It offers: (1) non-emergency transportation
management services to state Medicaid programs, local government
agencies, hospital systems, health maintenance organizations,
private managed care organizations and commercial insurers, as well
as to individuals with limited mobility, people with limited means
of transportation, people with disabilities and Medicaid members
(2) home- and community-based counseling services, which include
home-based and intensive home-based counseling, workforce
development, substance abuse treatment services, school support
services and correctional services; (3) foster care and therapeutic
foster care services; (4) case management, referral and monitoring
services; (5) social improvement, employment and welfare services
to various international government bodies and corporations; and
(6) in-home comprehensive health assessment and care management
services primarily to Medicare Advantage programs.
Providence is unique in that it
provides and manages its human services primarily in the client's
own home or in community based settings, rather than in hospitals
or treatment facilities and provides its non-emergency
transportation services clients through local transportation
providers rather than an owned fleet of vehicles.
Forward-Looking Statements
This press release
contains "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. Words such as
"will," "believe," "demonstrate," "expect," "estimate," "forecast,"
"anticipate," "should" and "likely" and similar expressions
identify forward-looking statements. In addition, statements that
are not historical should also be considered forward-looking
statements. Readers are cautioned not to place undue reliance on
those forward-looking statements, which speak only as of the date
the statement was made. Such forward-looking statements are based
on current expectations that involve a number of known and unknown
risks, uncertainties and other factors which may cause actual
events to be materially different from those expressed or implied
by such forward-looking statements. These factors include, but are
not limited to, our continuing relationship with government
entities and our ability to procure business from them, our ability
to manage growing and changing operations, the implementation of
the healthcare reform law, state budget changes and legislation and
other risks detailed in Providence's filings with the Securities and
Exchange Commission, including its Annual Report on Form 10-K for
the fiscal year ended December 31,
2014 and subsequent filings. Providence is under no
obligation to (and expressly disclaims any such obligation to)
update any of the information in this press release if any
forward-looking statement later turns out to be inaccurate whether
as a result of new information, future events or otherwise.
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SOURCE The Providence Service Corporation