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La Quinta CEO steps down; board approves $100 million repurchase plan

Published 09/17/2015, 07:12 PM
Updated 09/17/2015, 07:25 PM
La Quinta CEO Wayne Goldberg will be succeeded by Keith Cline on an interim basis
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Investing.com -- La Quinta Holdings (NYSE:LQ), a North Texas-based owner and operator of select-service hotels, announced Thursday that CEO Wayne Goldberg has stepped down from his position and will be replaced on an interim basis by Keith Cline.

Cline, who has served as La Quinta's Executive Vice Preisdent and Chief Financial Officer since January, 2013, helped lead the company through a successful initial public offering in April, 2014, the company said in a statement. Prior to joining La Quinta, Cline served as the Chief Administrative Officer and CFO at Charming Charlie, Inc. Cline has also held leadership positions at The J.M Smucker Company, FedEx (NYSE:FDX), Custom Critical and L Brands (NYSE:LB), Inc.

"We will continue to execute our growth strategy through our capital light franchising business, optimize the value of our owned hotel portfolio, and ensure that the La Quinta brand remains a leader in the midscale and upper midscale segments of the lodging industry," Cline said in a statement.

Goldberg joined La Quinta in 2000 and had served as the company's president and CEO since 2006.

"I am proud of the progress that has occurred over the past years at La Quinta," Goldberg said in a statement. "I believe the Company is well positioned for the future. As such, it is a good time for me to look forward and explore new opportunities."

La Quinta also lowered its forward guidance for the remainder of the year, amid weaker than anticipated demand over the last six weeks. Separately, La Quinta's Board of Directors approved a program on Thursday to repurchase up to $100 million of the company's common stock.

The hotel chain's owned and franchised portfolio consists of more than 875 properties, representing more than 87,000 rooms in the U.S. and three other countries in North America.

Shares in La Quinta Holdings fell 0.96 or 5.06% to 18.00 in after-hours trading.

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