Altra Announces Retirement of CFO Christian Storch and Appoints Altra Veteran Todd B. Patriacca as Chief Financial Officer

Rhea-AI Summary

Altra Industrial Motion Corp. (Nasdaq: AIMC) has announced the retirement of CFO Christian Storch, effective January 31, 2022. Todd B. Patriacca, who has been with the company since 2005, will assume the CFO role on February 1, 2022. Storch expressed confidence in Patriacca's leadership, while Patriacca acknowledged Storch's mentorship. This change comes as Altra continues to navigate various operational challenges and aims to sustain its growth momentum in the market.

Positive

• Todd Patriacca's extensive experience may provide stability during the transition.
• Patriacca's familiarity with Altra's operations could support continued financial growth.

Negative

• Potential concerns regarding continuity and experience gaps due to leadership change.

BRAINTREE, Mass., Oct. 22, 2021 (GLOBE NEWSWIRE) -- Altra Industrial Motion Corp. (Nasdaq: AIMC) (“Altra” or the “Company”), a leading global manufacturer and supplier of motion control, power transmission and automation products, today announced that Christian Storch, Executive Vice President and Chief Financial Officer, will be retiring on January 31, 2022 following a 14-year career at Altra. Todd B. Patriacca, who has served as Altra’s Vice President of Finance, Corporate Controller and Treasurer since February 2010, will become Executive Vice President, Chief Financial Officer and Treasurer effective February 1, 2022. In this new role, Mr. Patriacca will report to Carl Christenson, Altra’s Chairman and Chief Executive Officer.

Christenson commented, “On behalf of the Board and the entire company, I would like to thank Christian for his contributions to Altra over the past 14 years and wish him the best in his well-deserved retirement. During his time as Chief Financial Officer, Christian has been a trusted partner and leader who played an instrumental role in growing the business to where it stands today. We have absolute confidence in Todd’s ability to seamlessly transition into his new role and lead our financial organization as he leverages the breadth of his experience and deep knowledge of our company gained during his long tenure with Altra."

Storch added, “It has been a privilege to be a part of Altra’s journey during the past 14 years and to serve alongside an incredible leadership team. I am confident that Todd will do a tremendous job as CFO and look forward to working with him over the coming months to ensure a seamless transition.” 

Patriacca said, “I want to extend my thanks to Christian who has been an incredible mentor and respected leader for all of us at Altra. I am looking forward to working closely with Christian to transition responsibilities and settle into my new role early next year.”

Patriacca has a broad set of relevant financial experience and a strong track record of success. Since joining Altra in 2005 as Corporate Controller, he has been consistently promoted to positions of increasing responsibility, most recently to his current role as Vice President of Finance, Corporate Controller and Treasurer. Prior to joining Altra, Patriacca was Corporate Finance Manager at MKS Instruments Inc., a semi-conductor equipment manufacturer. Prior to MKS, Patriacca spent over 10 years at Arthur Andersen LLP in the assurance advisory practice. Patriacca is a certified public accountant and holds a B.A. in history from Colby College and an M.B.A. and an M.S. in accounting from Northeastern University.

About Altra Industrial Motion Corp.

Altra Industrial Motion Corp. is a premier industrial global manufacturer and supplier of highly engineered motion control, automation, power transmission, and engine braking systems and components. Altra's portfolio consists of 27 well-respected brands including Bauer Gear Motor, Boston Gear, Jacobs Vehicle Systems, Kollmorgen, Portescap, Stromag, Svendborg Brakes, TB Wood's, Thomson and Warner Electric. Headquartered in Braintree, Massachusetts, Altra has over 9,000 employees and 48 production facilities in 16 countries around the world.

Forward-Looking Statements

All statements, other than statements of historical fact included in this release are forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, any statement that may predict, forecast, indicate or imply future results, performance, achievements or events. Forward-looking statements can generally be identified by phrases such as “believes,” “expects,” “potential,” “continues,” “may,” “should,” “seeks,” “predicts,” “anticipates,” “intends,” “projects,” “estimates,” “plans,” “could,” “designed”, “should be,” and other similar expressions that denote expectations of future or conditional events rather than statements of fact. Forward-looking statements also may relate to strategies, plans and objectives for, and potential results of, future operations, financial results, financial condition, business prospects, growth strategy and liquidity, and are based upon financial data, market assumptions and management's current business plans and beliefs or current estimates of future results or trends available only as of the time the statements are made, which may become out of date or incomplete. Forward looking statements are inherently uncertain, and investors must recognize that events could differ significantly from our expectations. These statements include, but may not be limited to, the statements under “Business Outlook,” statements regarding the COVID-19 pandemic and statements regarding management's expectations (a) for the upcoming quarters, (b) regarding the Company's ability to continue to reduce leverage, (c) for continued similar levels of business development, order rates and backlog, (d) the Company's ability to overcome supply chain and logistics challenges, (e) expected inflationary pressure on raw materials, labor and logistics, (f) the Company's position in growth markets, (g) the Company's talented team and business systems, and (h) the Company's ability to maintain its growth trajectory through 2022 and beyond.

In addition to the risks and uncertainties noted in this release, there are certain factors that could cause actual results to differ materially from those anticipated by some of the statements made. These include: (1) competitive pressures, (2) changes in political and economic conditions in the United States and abroad and the cyclical nature of our markets, (3) loss of distributors, (4) the ability to develop new products and respond to customer needs, (5) risks associated with international operations, including currency risks, and the effects of tariffs and other trade actions taken by the United States and other countries, (6) accuracy of estimated forecasts of OEM customers and the impact of the current global economic environment on our customers, (7) risks associated with a disruption to our supply chain, (8) fluctuations in the costs of raw materials used in our products, (9) product liability claims, (10) work stoppages and other labor issues involving the Company’s facilities or the Company’s customers, (11) changes in employment, environmental, tax and other laws and changes in the enforcement of laws, (12) loss of key management and other personnel, (13) risks associated with compliance with environmental laws, (14) the ability to successfully execute, manage and integrate key acquisitions and mergers, (15) failure to obtain or protect intellectual property rights, (16) impairment or reduction of goodwill or intangible assets, (17) failure of operating equipment or information technology infrastructure, including cyber-attacks or other security breaches, and failure to comply with data privacy laws or regulations, (18) risks associated with our debt leverage, (19) risks associated with restrictions contained in the agreements governing Altra’s $400 million aggregate principal amount of 6.125% senior notes due 2026 and Altra’s revolving credit facility and term loan facility, (20) risks associated with compliance with tax laws, (21) risks associated with the global recession and volatility and disruption in the global financial markets, (22) risks associated with implementation of our enterprise resource planning system, (23) risks associated with the Svendborg, Stromag, and A&S acquisitions and integration and other acquisitions, (24) risks associated with certain minimum purchase agreements we have with suppliers, (25) risks related to our relationships with strategic partners, (26) our ability to offset increased commodity and labor costs with increased prices, (27) risks associated with our exposure to variable interest rates and foreign currency exchange rates, (28) swap counterparty credit risk, including interest rate swap contracts, cross-currency swap contracts and hedging arrangements, (29) risks associated with our exposure to renewable energy markets, (30) risks related to regulations regarding conflict minerals, (31) risks related to restructuring and plant consolidations, (32) risks related to our acquisition of A&S, including (a) the possibility that we may be unable to achieve expected synergies and operating efficiencies in connection with the transaction within the expected time-frames or at all and to successfully integrate A&S, (b) expected or targeted future financial and operating performance and results, (c) operating costs, customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with employees, customers, clients or suppliers) being greater than expected following the transaction, (d) our ability to retain key executives and employees, (e) slowdowns or downturns in economic conditions generally and in the markets in which the A&S businesses participate specifically, (f) lower than expected investments and capital expenditures in equipment that utilizes components produced by us or A&S, (g) lower than expected demand for our or A&S’s repair and replacement businesses, (h) our ability to successfully integrate the merged assets and the associated technology and achieve operational efficiencies, (i) the integration of A&S being more difficult, time-consuming or costly than expected, (j) the inability to undertake certain corporate actions that otherwise could be advantageous to comply with certain tax covenants, (k) potential unknown liabilities and unforeseen expenses related to the acquisition and (l) the impact on our internal controls and compliance with the regulatory requirements under the Sarbanes-Oxley Act of 2002, (33) exposure to United Kingdom political developments, including the effect of its withdrawal from the European Union, and the uncertainty surrounding the implementation and effect of Brexit and related negative developments in the European Union and elsewhere, (34) Altra’s ability to achieve the efficiencies, savings and other benefits anticipated from its cost reduction, margin improvement, restructuring, plant consolidation and other business optimization initiatives, (35) the risks associated with transitioning from LIBOR to a replacement alternative reference rate, (36) the scope and duration of the COVID-19 global pandemic and its impact on global economic systems and our employees, sites, operations, customers and supply chain, including the impact of the pandemic on manufacturing and supply capabilities throughout the world, (37) adverse conditions in the credit and capital markets limiting or preventing the Company’s and its customers’ and suppliers’ ability to borrow or raise capital, (38) the Company’s ability to invest in new technologies and manufacturing techniques and to develop or adapt to changing technology and manufacturing techniques, (39) defects, quality issues, inadequate disclosure or misuse with respect to our products and capabilities, (40) changes in labor or employment laws, (41) the Company’s ability to recruit, retain and motivate key sales, marketing or engineering personnel, (42) unplanned repairs or equipment outages, (43) changes in the Company’s tax rates, including enactment of the Tax Cuts and Jobs Act of 2017, or exposure to additional income tax liabilities or assessments, as well as audits by tax authorities, (44) the risks associated with the Company’s ability to successfully divest or otherwise dispose of businesses that are deemed not to fit with our strategic plan or are not achieving the desired return on investment and (45) other risks, uncertainties and other factors described in the Company's quarterly reports on Form 10-Q and annual reports on Form 10-K and in the Company's other filings with the U.S. Securities and Exchange Commission (SEC) or in materials incorporated therein by reference. Except as required by applicable law, Altra does not intend to update or alter its forward-looking statements, whether as a result of new information, future events or otherwise. AIMC-G

Contacts:
Altra Investor Relations
781-917-0600
Email: ir@altramotion.com

FAQ

Who is the new CFO of Altra Industrial Motion Corp.?

Todd B. Patriacca will become the new Executive Vice President and Chief Financial Officer of Altra, effective February 1, 2022.

Why is Altra's CFO, Christian Storch, retiring?

Christian Storch is retiring after a 14-year career at Altra, with his retirement effective January 31, 2022.

What experience does Todd Patriacca bring to his new role as CFO?

Todd Patriacca has been with Altra since 2005 and has served as Vice President of Finance, Corporate Controller, and Treasurer prior to his new role.

What is the impact of the management change on Altra Industrial Motion Corp.?

The management change may impact continuity and leadership experience, but Todd Patriacca's background could help maintain stability.