Element Fleet Management announced that Bradley Nullmeyer will retire as CEO and director and Dan Jauernig will serve as acting CEO.

Nullmeyer has served with Element for more than five years, but is stepping down, effective immediately. While Jauernig serves as acting CEO, the company’s board of directors will conduct a CEO search, evaluating external and internal candidates.

“On behalf of the board, I want to thank Brad for his dedicated service to Element,” said Brian Tobin, chairman of the board of directors. “Brad led the company through significant change and growth, while assembling a management team that is ready to lead Element through its next chapter of growth. We are pleased that Brad will remain available to assist the company and we wish him the very best in his retirement.”

Nullmeyer said, “I am proud of our collective efforts in building the world’s leading fleet management company. With much of the heavy lifting associated with Element’s rapid change behind us, now is the time to step back to enable the company to choose an operations-focused leader to drive the next stage of the company’s growth. Dan Jauernig has the right skills and experience to assume this role and I have committed to be available to ensure a smooth transition.”

Jauernig has more than 25 years of experience in financial services. He joined Element as executive vice president in November of 2014 and was subsequently promoted to president and chief operating officer. He joined Element from his previous role as president and CEO of Classified Ventures/Cars.com, a provider of online automotive research, reviews and
advertising in the U.S. Earlier in his career, Jauernig served as CFO of Newcourt Credit Group and president of Newcourt Services. A cross-border professional, Jauernig holds the Chartered Professional Accountant, Certified Management Accountant and Certified Public Accountant (Illinois) designations. He currently serves as chair of the risk committee of the board of directors of HomEquity Bank and as a director on Torstar’s board of directors.

“After numerous acquisitions and related integrations, a corporate split, and a review of options for the company, it’s time to turn all our attention to streamlining processes, driving efficiency and ensuring excellence in our operations and customer service,” Jauernig said. “The board and I recognize that the rapid pace of change and growth has not been easy for a number of stakeholders, and the integration process has created challenges for some of our valued customers. I look forward to working with the many talented and dedicated individuals across our company as we put our 100% focus on our customers and exceptional execution.”

In addition, Element provided an update to its financial outlook. It expects 2017 operating results in the core fleet business to be in line with previously communicated 2017 guidance. As a result of integration challenges, the company expects 2018 core fleet adjusted operating income will be down approximately 3% to 5% on a currency neutral basis. New client originations and management initiatives in 2018 will build a foundation for growth in core fleet adjusted operating income that is expected to resume beginning in 2019 and Element remains confident in mid- and long-term core fleet adjusted operating income growth rates of 7% to 9% in 2020 and beyond.

The company expects to report its fourth-quarter and full-year 2017 results on March 15.