INDIANAPOLIS---Nov. 5, 2003--Duke Realty Corporation (NYSE:DRE) reported today that Tom Hefner will step down as Chief Executive Officer effective April 30, 2004. The Board of Directors has unanimously agreed to name Denny Oklak, Duke's President and Chief Operating Officer, to the Chief Executive Officer position. Tom Hefner will remain as Chairman of the Board of Directors through April of 2005, at which time he plans to leave the Board. Bill Cavanaugh, Chair of Duke's Corporate Governance Committee and Lead Director, stated, "Today's announcements are the result of an extensive succession planning process. The Board is pleased with its results, assuring a smooth leadership transition."
The Company and the Board of Directors also announced that effective December 31, 2003 Gene Zink, Executive Vice President and Chief Financial Officer, and Gary Burk, Executive Vice President, Construction will relinquish their line positions. Both will remain associated with the company, retaining their Vice Chairman positions through year-end 2004. At that time, they will relinquish their Board positions. Matt Cohoat, Senior Vice President and Corporate Controller, will become Executive Vice President and Chief Financial Officer, and Steve Kennedy, Senior Vice President, Construction, will assume the role of Executive Vice President, Construction on December 31, 2003.
Duke also announced that effective immediately, Bob Chapman, Executive Vice President of Duke's Chicago region, has been named Senior Executive Vice President, Head of Real Estate Operations. In this role, Bob will be responsible for leasing, development and property operations throughout the Company.
Commenting on these changes, Mr. Cavanaugh noted,
"Duke's Board of Directors is very pleased with the progress of this leadership transition. Tom, Gary and Gene helped build an outstanding company - one that has consistently been a leader in the real estate industry. The Board has complete confidence that Denny, Matt, Steve and Bob will continue this industry leading performance. All are working closely with the Board to insure the transition is successfully accomplished."
Commenting on Denny Oklak being named to succeed him as Chief Executive Officer, Mr. Hefner said,
"I am delighted that our Board of Directors has selected Denny to succeed me. Since being named Chief Operating Officer in March 2001, Denny has done a magnificent job in repositioning the team for the next ten-year run."
With regard to his leaving the Board of Directors one year after relinquishing his Chief Executive Officer title, Mr. Hefner added,
"I have always firmly believed that the individual that holds the Chief Executive Officer title for a significant number of years should leave the Board after a one year mentoring period. I don't feel that I should be an exception. This leadership team will do a wonderful job representing our associates and shareholders. I am ready to move on in my life's journey."
Denny Oklak has been with the Company for 17 years, serving most recently as President and Chief Operating Officer. Prior to joining Duke, Denny spent nine years with Deloitte & Touche, a national accounting and consulting firm. Denny has a Bachelor of Science degree from Ball State University.
Matt Cohoat has been with Duke for 14 years, serving most recently as Senior Vice President and Corporate Controller. Prior to joining Duke, Matt worked for eight years in the audit services area of the international accounting firm of Ernst & Young. Matt has a Bachelor of Science degree in Accounting from Purdue University.
Steve Kennedy has been with the Company for 17 years, serving most recently as Regional Senior Vice President of Construction. Prior to joining Duke, Steve worked for Charles Pankow Builders, a west coast based construction firm, for eight years. Steve has a Bachelor of Science degree in Civil Engineering from Purdue University.
Bob Chapman has been with Duke for six years, serving most recently as Regional Executive Vice President. Prior to joining Duke, Bob had over 20 years experience in the real estate industry with The RREEF Funds, Gerald Hines Interests and Lincoln Property Company. Bob has both a Bachelor of Arts degree and a Master of Business Administration degree from Stanford University.
Duke Realty Corporation is the largest publicly traded office and industrial real estate company in the United States. Offering a complete range of real estate products and services, Duke produces approximately $800 million in annual revenue from more than 4,000 tenants and focuses on building dominant market positions in each of its 13 geographic platforms across the Midwest and the Sunbelt. Duke owns interests in more than 109 million square feet of properties, has over 1,000 employees and owns or controls approximately 3,900 acres of undeveloped land that can support approximately 62 million square feet of future development. Visit Duke on the web at www.dukerealty.com.
