01.05.2007

Tellock takes over

The Manitowoc Group’s board of directors has elected Glen E. Tellock, 46, as its president and chief executive officer, effective immediately.

Tellock takes over from Terry D. Growcock, 61, who will remain as chairman through 2008. Tellock will also join the Manitowoc group board of directors.
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Glen Tellock in Munich last week

Eric Etchart, currently executive vice president of the Asia Pacific region assumes Tellock’s job as president of Manitowoc Crane Group. Etchart joined Potain in 1995 as managing director of Potain Italy, moving to the Asia Pacific region almost 10 years ago.
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Eric Etchart

"This is the perfect situation for a change in leadership. The company's performance has never been stronger nor its future brighter," said Growcock. "As former chief financial officer and then president of our largest segment, Glen has a complete understanding of the value drivers of our business. I'll remain engaged with the company as chairman while Glen and his team execute Manitowoc's strategies of global growth and shareholder value creation."

"I am honored by the opportunity to lead a great company with great brands," said Tellock. "In less than a decade, under Terry's leadership Manitowoc was transformed from a North American manufacturing company into a global provider of innovative products and world-class service. The bar is high, and we have the team in place to clear it."

Tellock has been president of the crane group since 2002. before which he served as senior vice president and chief financial officer (1999 to 2002), vice president of finance and treasurer (1998 to 1999), corporate controller (1992 to 1998) and director of accounting (1991 to 1992).

Prior to joining Manitowoc Tellock served as financial planning manager with the Denver Post Corporation, and as audit manager for Ernst & Whinney.

Growcock joined the company in 1994 as executive vice president and general manager of Manitowoc Ice. In March 1995, he was appointed president of Manitowoc Foodservice Group and served in that capacity until his promotion to president and chief executive officer in 1998.

Vertikal Comment

This is a surprise announcement coming right on the tail of Bauma, While it might be expected to announce this prior to the company’s quarterly earnings conference call, it is surprising that Manitowoc did not take the opportunity to announce this at Bauma, if only to allow Etchart to meet customers and staff in his new role.

The choice of Etchart as Tellock’s successor in the crane group is likely to have also surprised many Manitowoc people a good number of which might have thought that Larry Weyers was being groomed for the job after his recent promotion which is intended to provide him with the necessary operational experience.

The move makes good sense, in that giving the job to a “Potain man” should help with the ongoing integration of the three businesses that make up the Manitowoc crane group.
If Weyers is earmarked as a future president it also gives him plenty of time to acquire the relevant manufacturing and operational experience and gives the Manitowoc group a long term succession plan.

Tellock should be well suited to his new role with his financial and accounting background teamed up with a relatively hands on experience within the crane group.

His main challenge will be the food services and shipbuilding businesses which have both lagged behind cranes in recent years. If they cannot be grown into operations that keep up with cranes, thus providing the group with cyclical diversity, then surely analysts will question whether they have a place within what is increasingly a crane group.