Skullcandy CEO quits, joins firm of Romney's son
Park City-based headphones and clothing manufacturer Skullcandy said Thursday that CEO Jeremy Andrus has stepped down to join the Massachusetts investment firm Solamere Capital, which was co-founded by Mitt Romney's son, Tagg.
Skullcandy's board of directors announced that founder and former CEO Rick Alden will take over on an interim basis. The board is initiating a search for a permanent replacement, according to a statement.
"The board is delighted that Rick has agreed to return to his previous role," said Skullcandy Chairman Jeff Kearl. "As our founder and a member of the board, Rick created the vision and spirit that guides Skullcandy, and will help to make the changes necessary to continue improving financial performance and to enhance shareholder value."
Alden said he was "honored to play this role in the next chapter at Skullcandy. This company has been my life since founding it, and I'm excited to come back in as we enter our second decade."
Andrus, a graduate of Brigham Young University, joined Skullcandy in 2005, became president in 2008, and was named CEO in March 2011. He is joining Solamere Capital as an entrepreneur-in-residence, according to a company statement Thursday.
"I chose to partner with Solamere Capital because our vision and goals are well aligned," Andrus said. "Solamere has a strong network through which I'll work to identify my next opportunity. I'm looking forward to ... helping support their expansion into the Rocky Mountain region."
Skullcandy, which was founded in 2003, produces and sells headphones, earbuds and other accessories for portable electronics. It also specializes in branding and designing mobile accessories for customers with an active lifestyle. The company has more than 330 employees and offices in San Francisco, San Clemente, Calif., China and Switzerland.
Skullcandy reported that revenue for its 2011 fiscal year reached $232.5 million, a 44 percent increase from its 2010 results. The company expects to report its full financial results for 2012 on March 7, as well as provide an outlook for 2013.
Skullcandy's stock dropped 34 cents per share Thursday, to $6.27, in after-hours trading.