Shuffle Master

May 4, 2010 7:06 AM

Last week, Shuffle Master, Inc. (SHFL) announced that Chief Executive Officer Timothy J. Parrott, based upon his medical condition, would no longer serve as the company’s CEO or as a member of its Board of Directors.

Effective immediately, Shuffle Master’s Board of Directors has appointed Chairman of the Board Phillip C. Peckman as interim CEO and Director Garry W. Saunders as interim non-executive Chairman of the Board, replacing Peckman.

The Board’s Governance Committee will promptly initiate a search for a new CEO. On April 21, Shuffle Master announced that Parrott would be taking a temporary medical leave of absence.

Peckman will remain as a director of the company but will no longer be "independent" under the applicable SEC and NASDAQ rules. Thus Peckman has resigned from all Board committees, with existing directors appointed to fill his spots.

Director Louis Castle will replace Mr. Peckman as the Audit Committee Chair. Director Daniel Wade will replace Mr. Castle as the Compensation Chair. Director John Bailey will remain Governance Committee Chair. Thus, the Company will continue to have only "independent" directors on its Audit, Compensation and Governance Committees.

By appointing Peckman as interim CEO, the company’s Board of Directors ended the interim Management Committee announced last week.

Peckman has extensive senior executive experience in multiple industries. He has practiced law and was the Managing Partner of the Las Vegas office of McGladrey and Pullen, a national accounting firm. He joined the Las Vegas-based Greenspun family in 1990 as the Chief Operating Officer of the Greenspun Corporation, a real estate, media and gaming company.

Peckman left the Greenspun Corporation as the CEO in November 2006. He has served as non-executive Chairman of the Board of Shuffle Master since 2008 and Chairman of the Audit Committee since 2007. Peckman graduated from Creighton University, University of Iowa and Drake University Law School. He is a former CPA.

On behalf of Shuffle Master’s Board of Directors, management and staff, Peckman stated, "We honor and thank Mr. Parrott for his distinguished service as CEO of Shuffle Master and continue to wish Mr. Parrott the best. I will continue Tim’s successful launch of the 12 Point Pledge and the implementation of his other positive cultural changes to the company."