Glad He Met ‘Ya? Struggling Aetna Names New CFO

Interim finance chief gets permanent post at ailing insurance giant. Plus: frequent flier and Skire hire.
Jennifer CaplanOctober 3, 2001
  • Officials at Aetna, the Hartford, Connecticut-based insurance giant, named Alan Bennett chief financial officer. Bennett had been serving as interim CFO since April, following the resignation of Alan Weber. Bennett will report to David Kelso, executive vice president of administration and finance.

    Bennett joined Aetna in 1995 as chief financial officer at Aetna Business Resources. He was named vice president and director of internal audit in 1997 and vice president and corporate controller in 1998. He has been responsible for accounting and auditing, accounting policy, and tax and tax planning. Bennett holds a B.S. degree in accounting from Susquehanna University. He is a certified public accountant.

    Aetna has been through quite a management shakeup recently. In March company chairman, William Donaldson announced his resignation. A month later, then- CFO Weber said he would be stepping down.

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    Then again, given the company’s recent performance, the developments are not overly surprising. Aetna posted a second-quarter operating loss of $95.9 million (67 cents per share), compared with second-quarter 2000 operating earnings from continuing operations of $36.4 million (25 cents per share). The loss was also up substantially from the previous quarter, when the company reported an operating loss of $36.6 million (26 cents per share). Managers said the results reflected decreased health-care premiums and higher medical costs in both commercial and Medicare HMO products. Aetna serves 18.1 million health care members, 13.9 million dental members, and 11.7 million group insurance customers.

  • Managers at Dallas-based affiliated companies American Realty Investors Inc.,Transcontinental Realty Investors Inc., and Income Opportunity Realty Investors Inc. announced that Brent Horak has been selected chief financial officer and vice president. Horak is currently CFO at Basic Capital Management Inc., a private real estate investment company that serves as advisor to ARI, TRI, and IORI. American Realty Investors and Transcontinental Realty Investors are real estate investment companies that invest mostly in equity interest in real estate through direct ownership and partnerships. Income Opportunity Realty Investors is a Dallas-based real estate investment trust.

    Horak replaces Louis Corna, who will remain as head of the corporate tax department at Basic Capital Management. Horak was previously a manager at BDO Seidman LLP and the auditor for American Realty Investors, Transcontinental Realty Investors, and Income Opportunity Realty Investors. He was responsible for the planning, managing, and performance of audits since 1996. Horak is a member of the AICPA, the Texas Society of CPAs and the Dallas Chapter of CPAs. He earned a bachelor of business administration from Texas Tech University in 1995.

  • Managers at Menlo Park, California-based Skire Inc., a provider of software that helps automate product planning, design, and procurement, appointed Andrew Stern vice president and chief financial officer. Stern joins the company with 20 years of experience in financial and operational management primarily at software companies. Most recently, he worked at Convoy Capital, a boutique venture capital firm. Prior to Convoy, he was the CFO at Theatrix Interactive, an educational software company. From 1992 to 1995, Stern was CFO at Arbor Software (now Hyperion Solutions), a provider of online analytical processing (OLAP) software. From 1988 until he joined Arbor, Stern was the CFO of Gupta Corporation (now Centura Software), an early player in the client-server software market.

  • Paul Tate has been hired to the newly created CFO post at Denver- based Frontier Airlines Inc.Sam Addoms, Frontier’s CEO, had previously handled the financial responsibilities at the carrier.

    Tate joins the company from Colgan Air, which operates as US Airways Express and is a regional code-share partner of US Airways Inc. At Colgan, Tate served as executive vice president and chief financial officer.