Planet Fitness, Inc., in a February 20 filing with the Securities and Exchange Commission (SEC), reported that former CEO Chris Rondeau resigned from the company’s Board of Directors on February 15, 2024. The company said that Rondeau did not serve on any Board committees at the time of his resignation.
The company said in its filing that it believes that Rondeau resigned from the Board because of disagreements with the company over decisions made by the company since the former CEO’s exit in September 2023, including the company’s decision to terminate the employment of approximately 9 percent of the company’s headquarters employees in February 2024, the scope of the role of the interim chief executive officer in managing the company during the company’s ongoing search for a permanent CEO, and the Board’s role in reviewing and approving such decisions.
Craig R. Benson, a Board member, was appointed interim CEO after Rondeau’s resignation from the CEO role.
Rondeau had been with Planet Fitness for over 20 years and was the CEO of Planet Fitness since 2012. Rondeau was to continue serving as a Board member and was nominated for re-election at the company’s 2024 Annual Meeting. In addition, Rondeau was engaged to continue to serve the company in an advisory role under his agreement with the company to ensure a smooth transition.
In its SEC filing, the company thanked Rondeau for his service to the company but said it respectfully disagreed with Rondeau’s views on these matters. The Board indicated in the filing that it has momentum behind the search for a new CEO and the Board is encouraged by the progress to date.
The following correspondence was sent by Christopher Rondeau to the Planet Fitness, Inc. board of directors via e-mail on February 14, 2024:
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Good Evening Everyone,
First I want to start by thanking Craig for his work and grateful he was willing to step in while the CEO search is underway. Although I know my thoughts fall on deaf ears I feel it’s important to be straightforward and transparent with some thoughts of mine. From the little I know we are not any closer in the CEO search then we were in 4th qtr. As we work to put this person in place its feels some of these moves we have been making are very large decisions and some could be brand/model changing. I’m not saying I don’t necessarily agree with some of them but feel they are such big moves there would have been an all board meeting/zoom to agree and possibly vote to move forward. As we know when this new CEO is found, hopefully with much larger experiences than I with large franchise experience, 1000’s+ units big brand experience and international experience, they will have their own ideations of how this company should be positioned and built therefore once again be more changes just months away and could rewind the stuff we are allowing to happen now.
In my opinion it seems reckless and negligent.
Lastly culture will always eat competition for lunch. Planet Fitness’ was incredible, built over 30 years and proven by multiple culture surveys ordered by the board while i was CEO and all came back with flying colors one of the company’s even saying “not only is it perfect it’s the best they’ve seen”. It pains me to see/hear where the people and franchisees are at and with no end in sight as they have ton of angst not knowing who or when this new CEO will be in place.
Thanks for taking the time to read
My Best
Chris
Image courtesy Planet Fitness
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See below for more SGB Media coverage on the Planet Fitness CEO transition.
