New appointments are now in line for the top job and have received $30M retention bonuses
JPMorgan Chase has appointed two senior executives as co-presidents of the company, in a move the bank's board described as part of a deliberate leadership succession process.
Doug Petno and Troy Rohrbaugh, who previously served together as co-CEOs of the Commercial & Investment Bank, take on their new roles with immediate effect, the firm announced Thursday. Petno will assume sole CEO responsibility for the Commercial & Investment Bank, while Rohrbaugh shifts to lead Consumer and Community Banking as its CEO.
Marianne Lake, who has run Consumer and Community Banking as CEO, will retire after more than 25 years at the firm. She will work with Rohrbaugh and other senior leaders over the coming weeks to support the handover.
Chairman and CEO Jamie Dimon said the changes reflected the board's structured approach to developing its top talent.
"The changes announced today mark an important step in our Board's thoughtful process around succession planning and development of our top leaders," Dimon said. "We are fortunate to have in place an exceptional group of senior leaders, not only at our Operating Committee level but across our organization, and I've never been more excited about the future of JPMorganChase."
Dimon said the decision to elevate the pair reflected the board's view of their track records and character.
"The decision to elevate Doug and Troy to Co-Presidents and heads of the company's two largest businesses reflects the Board's confidence in their extraordinary leadership capabilities, business performance, relationships, experience and commitment to always doing the right thing," he said.
Paying tribute to Lake, Dimon said: "Marianne Lake has served our company with distinction for more than 25 years as head of CCB, Chief Financial Officer, a member of the Operating Committee and other key roles. She has been an outstanding partner and friend and has dedicated her career to championing our people and customers, building world-class businesses and delivering results, always with unquestioned integrity. We will miss her and wish her all the best in the future."
However, the Wall Street Journal reports sources that claim Lake’s decision was the direct result of learning that she was not on the two-name shortlist to succeed Dimon and that she is likely to turn up somewhere else on Wall Street in the months ahead.
Other senior roles remain unchanged. Mary Erdoes continues as CEO of Asset & Wealth Management, and Jennifer Piepszak remains Chief Operating Officer. Both new Co-Presidents, along with Erdoes and Piepszak, will continue reporting to Dimon.
