BK Is Out Of BK: BNY Chairman And CEO Kelly Forced Out Due To Differences With The Board On Managing Company

Some very out of left field late news from the only other tri-party repo in addition to JPM and key corrupt player in the Bank of America settlement litigation, BNY Mellon, whose Chairman and CEO Bob Kelly has just stepped down "because of differences with the board in the approach to managing the company." His replacement will be president Gerald Hassell, effective imediately. Uh, those never occur unexpectedly. Something big is happening behind the scenes, and alas we ave no idea what it is. Is this the first step to setting up the replacement for Brian Moynihan? Look for the kneejerk response in BAC stock for the answer. Or did the Bank of America settlement, already improbable, just get impossible?

Full release:

BNY Mellon, the global leader in investment management and investment services, today announced that Gerald L. Hassell, BNY Mellon's president and a board member since 1998, has been appointed chairman and chief executive officer of the company, effective immediately.  Hassell also continues as BNY Mellon's president.  Robert P. Kelly has stepped down as chairman, chief executive officer and director by mutual agreement with the board of directors, due to differences in approach to managing the company.

"Gerald is ideally positioned to guide BNY Mellon through the next phase of its growth and to bring it to its full potential," said Wesley W. von Schack, lead director of BNY Mellon.  "Over the course of his more than three-decade tenure with BNY Mellon and its predecessor company, The Bank of New York, Gerald has led nearly every major division of the company, has been a key decision maker on every major business action, executive hire and promotion in the merged company, and has served on its board of directors.  He brings a broad and deep knowledge of our operations, our clients, our industry and our culture to his new roles.  As the executive currently overseeing our investment services business and our global client management function, and given his extensive and long-standing relationships with investment management clients, Gerald is exceptionally well-suited to ensure BNY Mellon maintains and strengthens its role as a global market leader," von Schack continued.  

"I am pleased to accept these new roles and am excited about the strong growth prospects for our company," said Hassell. "When we help clients succeed, we drive value for our shareholders. I look forward to working with our outstanding management team and employees to capitalize on BNY Mellon's extensive opportunities."

"We are grateful to Bob Kelly for his leadership and the contributions he made to the company during his tenure as CEO," said von Schack.  "He played a key role in the integration of The Bank of New York and Mellon Financial following the merger and helped navigate the company through the financial crisis, securing its position as the world's leading provider of investment management and investment services. Bob Kelly is a person of the highest integrity and we wish him the best in his future pursuits."

"It has been an honor to serve BNY Mellon, its management team and its employees during the past four years," said Kelly.  "We have navigated tremendously difficult markets and built one of the world's premier financial institutions.  I am confident that under Gerald's leadership of the firm's strong management team, BNY Mellon will continue to flourish going forward."