NiSource Names Spin-Off LeadershipPosted: Updated:
Merrillville-based NiSource Chief Executive Officer Robert Skaggs is expected to take the reins at the utility's Columbia Pipeline Group Inc. spin-off. NiSource Executive Vice President Joe Hamrock will succeed Skaggs as CEO.
December 3, 2014
Merrilleville, Ind. and Houston, Texas -- NiSource Inc. (NYSE: NI) today named key leaders expected to guide Columbia Pipeline Group Inc. (CPG) and NiSource following the planned separation of the two energy companies in mid-2015.
In September 2014, NiSource announced plans to separate its natural gas pipeline and related businesses into a stand-alone publicly traded company, CPG, with NiSource becoming a pure-play regulated natural gas and electric utilities company.
Key leadership appointments for CPG, expected to be effective at the time of separation, include:
Robert C. Skaggs Jr., currently president and chief executive officer (CEO) of NiSource, is expected to become CEO of CPG.
Stephen P. Smith, currently NiSource executive vice president (EVP) and chief financial officer (CFO), is expected to become EVP and CFO for CPG.
Glen L. Kettering, currently EVP and group CEO for CPG, is expected to assume the new role of president of CPG. Other current members of the CPG senior leadership team also are expected to remain with CPG.
The company also announced expected key post-separation leadership appointments for NiSource:
Joseph Hamrock, currently EVP and group CEO of NiSource's Gas Distribution business unit, will become CEO of NiSource.
Jim L. Stanley, EVP and group CEO for Northern Indiana Public Service Company (NIPSCO), is expected to serve in the new role of chief operating officer for NiSource, overseeing a variety of functions, including capital program management, major projects and customer and commercial operations.
Violet G. Sistovaris, currently NiSource senior vice president (SVP) and chief information officer, is expected to become EVP for NIPSCO, with responsibility for Electric Operations and Regulatory, External Affairs and Communications functions. Among those reporting to Sistovaris will be NIPSCO President Kathleen O'Leary.
A CFO for NiSource is expected to be named in early 2015, following completion of an internal and external candidate review.
"With proven, experienced leaders in place at both companies, NiSource and CPG will be well positioned to thrive and grow as independent entities," Richard L. Thompson, NiSource Board of Directors Chairman, said. "As demonstrated by their strong leadership track records, Bob Skaggs, Joe Hamrock and their respective teams are ideally suited to provide the clarity of vision, depth of experience and strength of character needed to execute on the distinct and well-established growth strategies of both NiSource and CPG."
As previously announced, NiSource's corporate headquarters will continue to be in Merrillville, Indiana, while CPG will remain headquartered in Houston, Texas. Additional leadership appointments for both companies will be announced prior to the time of separation.
Expected post-separation CPG board appointments announced
NiSource also today announced plans for initial appointments to the Board of Directors of Columbia Pipeline Group, Inc. (CPG) expected to take effect immediately prior to the planned separation of CPG from NiSource.
Prior to the separation, Robert C. Skaggs Jr. is expected to become Chairman of the Board for CPG. Other current members of NiSource's Board of Directors expected to join the CPG Board include independent board members Sigmund L. Cornelius, Marty R. Kittrell, W. Lee Nutter, Deborah S. Parker and Teresa A. Taylor. None of these directors is expected to continue to serve on the NiSource Board following the separation.
Expected to continue serving on the NiSource Board following the separation are current independent NiSource board members Richard L. Thompson, who is expected to continue serving as Board Chairman, Richard A. Abdoo, Michael E. Jesanis, Aristides S. Candris and Carolyn Y. Woo. In addition, it is expected that Joe Hamrock will be named to the NiSource Board when he assumes CEO responsibilities for the company.
"We are privileged to have highly experienced and respected individuals prepared to serve on the respective Boards of both NiSource and CPG," Thompson noted. "These boards will each bring a depth of experience, a range of perspectives and a continuity of focus vital to the distinct opportunities and challenges of each company. I am confident these Boards will provide sound independent judgment and guidance to each company's management teams as they work to build and grow these companies."
These plans are contingent upon the re-election of members of the NiSource Board at the company's 2015 annual meeting. NiSource also plans to recruit additional members for each Board over the coming months.
Biographies of executives and directors named in this release are included below.
NiSource Inc. (NYSE: NI), based in Merrillville, Ind., is a Fortune 500 company engaged in natural gas transmission, storage and distribution, as well as electric generation, transmission and distribution. NiSource operating companies deliver energy to 3.8 million customers located within the high-demand energy corridor stretching from the Gulf Coast through the Midwest to New England. Information about NiSource and its subsidiaries is available at www.nisource.com. NI-F
Joe Hamrock serves as executive vice president and group CEO for NiSource's Gas Distribution segment, which includes local gas distribution companies in Kentucky, Maryland, Massachusetts, Ohio, Pennsylvania and Virginia. In this role, he has responsibility for all aspects of performance at NiSource's gas distribution operations. In coordination with leadership teams across each of these areas, he focuses on driving the company's long-term growth plan, premised on executing a steady stream of infrastructure improvements and growth investments, synchronized with complementary regulatory and customer program initiatives. Hamrock is a member of NiSource's executive management council, joining NiSource in May of 2012 after serving in a variety of senior executive positions with American Electric Power (AEP), including roles in engineering, transmission and distribution operations, customer service, marketing and information technology. Most recently he served as president and chief operating officer of AEP Ohio. He earned a bachelor's degree in electrical engineering from Youngstown State University in Ohio and a master's degree in business administration from the Massachusetts Institute of Technology in Cambridge, where he was a Sloan fellow. He is a registered professional engineer in Ohio, serves as a trustee for The NiSource Charitable Foundation, the United Way of Central Ohio, YSU STEM College Advisory Council, and the Mt. Carmel College of Nursing.
Glen L. Kettering
Glen Kettering serves as executive vice president and group CEO for Columbia Pipeline Group. He oversees all regulatory, operations and project management for the unit, and is responsible for execution of CPG's capital investment, modernization and growth strategies. Together, the CPG gas transmission, midstream and storage companies operate a 15,000-mile network of natural gas pipelines, 37 storage fields and serve some of the nation's largest and fastest-growing energy markets in the Northeast, Midwest and Mid-Atlantic regions. Before he was appointed CEO in April 2014, Kettering served as senior vice president, Corporate Affairs, where he was responsible for leading NiSource's investor relations, communications and federal government affairs functions. He joined the law department of Columbia Gas Transmission in 1979 and has served in a variety of legal, regulatory, commercial and executive roles, including President of