Robert Gidel Resigns as President and CEO of Ginn Companies, LLC
Bobby Ginn’s financial partner Lubert Adler brought Rob Gidel in as company president in July ’07 to turn around the company. Ultimately, his job was to save as much of it as he could.
Palm Coast, Florida – April 7, 2009 – The Ginn Companies, LLC announced the resignation of President and CEO Robert Gidel effective yesterday. Gidel was brought in as President two years ago when Bobby Ginn’s financial partner Lubert Adler became concerned about out of control spending in the face of declining real estate sales.
Gidel, a self described "trouble shooter," was faced with a company loaded with freshly acquired debt and declining cash flows. Within his first year, he came up against lawsuits from disgruntled property owners, a major debt default, a dearth of sales and decreasing property values. Gidel oversaw the negotiations with Credit Suisse which resulted in the Chapter 7 bankruptcy sales of company assets at Tesoro, in Port St. Lucie, and Quail West near Naples as well as the sale of Laurelmor near Blowing Rock, N.C.
Other Gidel driven changes included significant staff reductions, and the elimination of several divisions including Ginn Security, Ginn Financial, and Ginn Real Estate. Clubs were opened up to outsiders with the implementation of callable memberships. Golf tournament contracts were cancelled. Most recently, he orchestrated the outsourcing agreement with Noble Investment Group and Reynolds Signature Communities to manage the Hammock Beach and Reunion Resorts and Clubs as well as the Bella Collina Club in Apopka.
In a recent interview, Gidel suggested that he would likely be leaving soon. The Reynolds and Nobel contracts were necessary and correct moves which would put the resort properties in capable management hands. Once that was in place, he could move on. Not coincidently, Reynolds and Noble took over on the 6th, the same day as Gidel’s departure. A rumor that Gidel would be joining Noble Investment Group is untrue.
Ginn Companies is currently finalizing a new management structure to be announced in the near future.
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