IBJNews

Bioanalytical Systems' CEO announces retirement

Back to TopCommentsE-mailPrintBookmark and Share

Struggling West Lafayette-based life science contract research firm Bioanalytical Systems Inc. is searching for a new top executive. Richard M. Shepperd, 69, announced his retirement on Wednesday.

Shepperd, who joined the firm in October 2006, immediately relinquished his job as company president. He also announced his intention to retire from his post as CEO and his seat on the Bioanalytical Systems board on Feb. 12.

Bioanalytical Systems replaced Shepperd on an interim basis with Anthony Chilton, 53, the firm’s chief operating officer. The company intends to conduct a national search for a permanent CEO.

Located in Purdue University’s Research Park, Bioanalytical Systems was founded in 1974 by Pete and Candace Kissinger. Over the years, it grew into one of Indiana’s largest locally-based life science firms. The couple led the company until August 2007, when they quietly stepped down from their management posts. He had been CEO; she was vice president of research. The Kissingers remain Bioanalytical Systems’ largest shareholders, with a 26-percent stake.

Bioanalytical Systems originally hired Shepperd to cut costs. He ended up presiding over one of the roughest patches in the firm’s history. Its annual revenue declined from $45.2 million in 2007 to $31.8 million in 2009. And the modest $926,000 Bioanalytical Systems booked as profit in 2007 was followed by two years of losses: $1.5 million in 2008 and $5.5 million last year.

As a result, Bioanalytical Systems’ stock price has tumbled. Before the recession began, the company’s shares traded on NASDAQ for more than $8. Early Thursday, they were worth 80 cents each.

The company Shepperd departs is much smaller than the one he inherited. At its peak, Bioanalytical Systems had 375 employees. According to the firm's 2009 annual report, headcount had shrunk to 257.

Shareholders have been attempting to turn Bioanalytical Systems around. On April 6, 2009, the Kissingers sent a joint letter to the company’s board and the Securities and Exchange Commission, outlining concerns about its direction and management. Their concerns were shared by Wisconsin stockbroker Thomas Harenburg, who sent a letter of his own. With a 5.6-percent stake, Harenburg is Bioanalytical Systems’ next-largest shareholder.

Last summer, both Kissingers wrote fresh letters petitioning Bioanalytical Systems to replace several of the company’s board directors. In October, the company added Harenburg nominee David L. Omachinski. In November, Bioanalytical Systems added one of the Kissingers’ candidates, John Landis.

On Wednesday, the company also announced board chairman William Baitinger had retired. His replacement, Charlene Sullivan, is an associate professor at Purdue’s Krannert Graduate School of Management. Pete Kissinger is co-chairman of Purdue’s Department of Chemistry.

“The board would like to express its sincere appreciation to Mr. Shepperd for his strong leadership at a critical time in the company’s history,” Bioanalytical Systems board member David W. Crabb said in a statement. “We are confident that Dr. Chilton has the background, knowledge and industry experience to effectively lead the company into the future.”

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
thisissue1-092914.jpg 092914

Subscribe to IBJ
  1. Here are a few candidates for this new group, "ripped from the headlines." First up, that bizzaro State Senator Brent Waltz; secondly, the unethical Todd Huston, and his contractual arrangements scheme; Finally, but not least of all, the dishonorable Eric Turner. What sayeth you Greg Zoeller?

  2. Good day. I can't hide this great testimony that take place in my life I will love everyone to know it and be partaker that is why I always place it on answer, I am Mrs,Natalie Cuttaia by name, I live in Texas, United State Of America, I want to thank (Mr.Bruce Brandon) for his kindness upon my family life. I never knew that there is still nice lender like this on internet and earth here. Just some Months Back, I was in search for a loan of $100,000,00 as I was running out of money for feeding and rent. I was scammed $6,800 Dollars and I decided not to involve my self in such business again but a Friend of my introduced me to a loan firm due to my appearance and doings. And I told him that I am not interested of any loan deal anymore but he told me that there is still a nice lender who he will recommend me to, and I made a trial and I am most grateful lucky am I today, I was given a loan amount of $100,000.00usd, by this great Company (Bruce Brandon Loan Company) managed by (Mr.Bruce Brandon) If you are in need of a genuine or legit loan or financial assistance and you can be reliable and trusted of capable of paying back at the due time of the funds I will advice you to, contact him via: ( bruce.brandon071@gmail.com ) And you will be free from scams in the internet. All thanks to Mr.Bruce Brandon You are the one who remove me and my family out of poverty. The reason why i am doing this is that, i promise Mr.Bruce Brandon that if i truly got my loan, i will advertize his company and bring customers to his company. Contact him via ( bruce.brandon071@gmail.com )for the Loan you have been looking for..

  3. Hello, We are firm Organization formed to help people in needs of helps,such as financial help. So if you are going through financial difficulty or you are in any financial mess,and you need funds to start up your own business,or you need loan to settle your debt or pay off your bills,start a nice business, or you are finding it hard to obtain capital loan from local banks,contact us today via email mrsroseberrywilkinsfunds.usa@gmail.com So do not let these opportunity pass you by because Jesus is the same yesterday, today and forever more. Please these is for serious minded and God fearing People. Your Name: Loan Amount: Loan Duration: Valid Cell Phone Number: Thanks for your understanding to your contact as we Await Regards Management Email:mrsroseberrywilkinsfunds.usa@gmail.com

  4. The question is, where could they build a new stadium? It seems in the past year, all the prime spots have been spoken for with potential projects. Maybe in the industrial wasteland area a block past Lucas Oil? I think it needs to be close to the core, if a new stadium is built.

  5. Aldi is generally a great shopping experience. Still, I'm sure YOU wouldn't want to shop there, which I consider a positive.

ADVERTISEMENT