CenterPoint Energy announced that David M. McClanahan, 64, would step down as president and CEO and as a member of the company's board of directors, effective December 31.
The board of directors has named Scott M. Prochazka, 47, the company's chief operating officer as McClanahan's successor. McClanahan will remain as an officer with the company and special advisor to the CEO during the first half of 2014.
"Succession planning is a key component in a smooth leadership transition. Since being appointed COO, Scott has demonstrated outstanding leadership and strategic vision," said Milton Carroll, chairman of the board of CenterPoint Energy. "The board has confidence that Scott will be effective in helping achieve sustainable, long-term success for our shareholders, employees and the communities we serve. I also want to thank David for his 41 years of invaluable service to our company."
"Scott has helped us achieve strong financial and operational performance in our business units, and he has a good depth of experience from leading both our electric and natural gas utility businesses," said McClanahan. "I look forward to continuing to work with Scott as he transitions into his new role."
"I am grateful for the board's confidence in my ability to lead the company," said Prochazka. "David's leadership has been essential in establishing CenterPoint Energy as an industry leader and providing us a strong foundation for the future. I look forward to building upon our past successes."
McClanahan started his career with CenterPoint Energy's predecessor company, Houston Lighting & Power Co., in 1972 following his graduation from the University of Texas. He held various positions of increasing responsibility until being named president and CEO in 2001.
McClanahan is the current chairman of the Greater Houston Partnership and the Gulf Coast Regional Blood Center. He is past chairman of the American Gas Association, Central Houston, the Electric Reliability Council of Texas, Junior Achievement of Southeast Texas, the United Way of Greater Houston and the University of St. Thomas.
Prochazka has been with CenterPoint Energy since October 2001 and at various times has led the operations of the company's electric and natural gas utility businesses.
CenterPoint has its headquarters in Houston, Texas.