HOUSTON - Oct. 29, 2013 - CenterPoint Energy, Inc. (NYSE: CNP) today announced that David M. McClanahan, 64, will step down as president and chief executive officer and as a member of the company’s board of directors, effective Dec. 31. The board of directors has named Scott M. Prochazka, 47, the company’s chief operating officer as McClanahan’s successor. McClanahan will remain as an officer with the company and special advisor to the CEO during the first half of 2014.
“Succession planning is a key component in a smooth leadership transition. Since being appointed COO, Scott has demonstrated outstanding leadership and strategic vision,” said Milton Carroll, chairman of the board of CenterPoint Energy. “The board has confidence that Scott will be effective in helping achieve sustainable, long-term success for our shareholders, employees and the communities we serve. I also want to thank David for his 41 years of invaluable service to our company.”
“Scott has helped us achieve strong financial and operational performance in our business units, and he has a good depth of experience from leading both our electric and natural gas utility businesses,” said McClanahan. “I look forward to continuing to work with Scott as he transitions into his new role.”
“I am grateful for the board’s confidence in my ability to lead the company,” said Prochazka. “David’s leadership has been essential in establishing CenterPoint Energy as an industry leader and providing us a strong foundation for the future. I look forward to building upon our past successes.”
McClanahan started his career with CenterPoint Energy’s predecessor company, Houston Lighting & Power Company, in 1972 following his graduation from the University of Texas. He held various positions of increasing responsibility until being named president and CEO in 2001. Over the twelve years of his tenure as CEO, CenterPoint Energy has been one of the leaders in total shareholder return among its regulated utility peers. The company’s natural gas utility business has consistently been ranked as a top performer in the J.D. Power Customer Satisfaction Survey, and the company has been ranked among the top places to work in Houston, its headquarters city. McClanahan is the current chairman of the Greater Houston Partnership and the Gulf Coast Regional Blood Center. He is past chairman of the American Gas Association, Central Houston, the Electric Reliability Council of Texas, Junior Achievement of Southeast Texas, the United Way of Greater Houston and the University of St. Thomas.
Prochazka has been with CenterPoint Energy since October 2001 and at various times has led the operations of the company’s electric and natural gas utility businesses. He also had key leadership roles in Corporate Strategic Planning and Customer Service. Prior to joining CenterPoint Energy, Prochazka worked in a variety of roles for Dow Chemical from 1989 to 2001. He received a bachelor’s degree with highest honors in chemical engineering from The University of Texas. He has also completed executive development programs at the University of Chicago Booth School of Business and the Kelley School of Business at Indiana University.
Prochazka currently serves on the boards of Junior Achievement of Southeast Texas, the Electric Reliability Council of Texas and Gridwise Alliance. He also serves on the President’s Advisory Board of the University of St. Thomas. He is past chairman of the Southeastern Electric Exchange and the Texas Gas Association.
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and competitive natural gas sales and services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 58.3 percent limited partner interest in Enable Midstream Partners, a midstream partnership it jointly controls with OGE Energy Corp. with operations in major natural gas and liquids producing areas of Oklahoma, Texas, Arkansas and Louisiana. With more than 8,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 135 years. For more information, visit the website at www.CenterPointEnergy.com.
This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. The statements in this news release regarding future events and other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of the release.