8-K: Atlantic Union Bankshares Announces CFO Robert Gorman's Planned Retirement

Robert M. Gorman, Executive Vice President and Chief Financial Officer of Atlantic Union Bankshares, plans to retire, effective no later than March 31, 2026.

Summary

• Atlantic Union Bankshares Corporation announced the planned retirement of Executive Vice President and Chief Financial Officer Robert M. Gorman.
• Gorman's retirement is expected to occur on or before March 31, 2026.
• He will continue to serve in his current role until a successor is appointed.
• After a successor is appointed, Gorman will serve in an advisory capacity to assist with the transition.
• Atlantic Union has initiated a nationwide search for a successor, engaging an executive search firm.
• Gorman has been the CFO since 2012 and has been instrumental in the bank's growth from a $4 billion asset community bank to a nearly $40 billion regional bank.
• The company expresses gratitude for Gorman's contributions and wishes him well in his retirement.

Sentiment

Score: 7

Explanation: The announcement is neutral to positive, focusing on a planned retirement and acknowledging past achievements. The tone is appreciative and forward-looking.

Positives

• Gorman will assist with the transition after his successor is appointed, providing continuity.
• Atlantic Union has initiated a nationwide search for a qualified successor.
• The company acknowledges Gorman's significant contributions to the bank's growth and performance during his 13-year tenure as CFO.
• Atlantic Union has grown to nearly $40 billion in total assets and is the largest regional bank headquartered in the lower Mid-Atlantic.

Risks

• The company acknowledges that forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from anticipated results.
• These risks include changes in market interest rates, economic conditions, trade policies, and the company's ability to retain key employees.
• The company also cites the possibility that the anticipated benefits of acquisition activity, including the acquisitions of Sandy Spring Bancorp, Inc. and American National Bankshares, may not be realized when expected or at all.

Future Outlook

Atlantic Union believes it is well-positioned to continue to generate sustainable, profitable growth and to build long-term value for its shareholders.

Management Comments

• John Asbury, Chief Executive Officer, stated that Rob's focus on delivering top-tier financial performance and creating long-term shareholder value has established Atlantic Union as a well-respected market leader.
• Robert M. Gorman stated that it has been a great privilege to serve as Atlantic Union's chief financial officer and that he believes Atlantic Union is well-positioned to continue to generate sustainable, profitable growth.

Industry Context

The announcement reflects typical executive succession planning within the banking industry, where experienced leaders are often replaced to ensure continued growth and stability.

Comparison to Industry Standards

• Succession planning is a common practice in the banking industry, with companies like JPMorgan Chase and Bank of America also undergoing leadership transitions.
• Atlantic Union's growth from $4 billion to $40 billion in assets during Gorman's tenure is comparable to the growth trajectories of other regional banks during periods of economic expansion.
• The engagement of an executive search firm is a standard practice for identifying qualified candidates for executive positions, similar to what other financial institutions do.

Management Changes

Stakeholder Impact

• Shareholders: The announcement could have a short-term impact on stock price due to uncertainty, but the smooth transition plan aims to minimize disruption.
• Employees: The change in leadership may cause some uncertainty among employees, but the company's focus on a smooth transition should mitigate concerns.
• Customers: The retirement is not expected to have a direct impact on customers.
• Suppliers: The retirement is not expected to have a direct impact on suppliers.

Next Steps

• Atlantic Union will continue its nationwide search for a new CFO.
• Gorman will continue in his role until a successor is appointed and will then transition to an advisory role.

Key Dates

Keywords

retirement, CFO, Robert Gorman, Atlantic Union Bankshares, executive search, financial officer, appointment, transition