Insituform Technologies’ Rooney Resigns

The board of directors of Insituform Technologies Inc. accepted the resignation of president and CEO Thomas S. Rooney Jr., effective immediately, according to a press release dated Aug. 14. Rooney had served those positions for four years.

The board has begun a search for Rooney’s successor, considering both internal and external candidates. While the search is conducted, Alfred J. Woods, a board director since 1997 and non-executive chairman of the board since 2003, will serve as interim CEO.

“Our board appreciates Tom Rooney’s contributions to the company during his four years as president and CEO. [His] charge was to pursue a three-pronged strategy of growth, technological innovation and operational excellence. In the latter two areas, technological innovation and operation excellence, Insituform has made tremendous strides under Mr. Rooney’s leadership,” Woods said.

“Unfortunately, since 2005 our growth has stalled as overall sewer rehab spending in the domestic market has stagnated. Our board and CEO disagreed on a number of stylistic and strategic issues regarding the company’s growth objectives and the board therefore accepted Mr. Rooney’s resignation,” Woods said.
Wood emphasized that the board continues to believe in the three-pronged strategy.

“Recent market conditions have been challenging to Insituform. These events have led the board of directors to believe their different direction would need different leadership. Where the company chooses to go from here is unknown to me,” Rooney said in a media statement. “But of this I have no doubt: If we had not made so many significant improvements, these new and unforeseen market conditions would have been even more threatening. In point of fact, the company has a very bright future and is in strong, capable hands… .”

In other Insituform news, David A. Martin, company vice president and controller, has been promoted to vice president and CFO, a post that had been vacant for 19 months. Martin, who joined Insituform in 1993, has served as the company’s principal financial and accounting officer since January 2006.