Allscripts Replaces Tullman with Former Cerner Exec Paul Black as CEO and announces that the Board has formally concluded its evaluation of strategic alternatives
Allscripts today announced that it has named Paul M. Black as its President and Chief Executive Officer, effective immediately. Mr. Black is the former Chief Operating Officer of Cerner Corporation and is currently an Allscripts board member. He replaces Glen Tullman, who will step down from his positions as Chief Executive Officer and board member. Lee Shapiro also will step down as President, effective immediately, and will serve as a consultant to Mr. Black for up to six months. In addition, the Company announced that the Board has formally concluded its evaluation of strategic alternatives.
“We want to thank Glen Tullman for building Allscripts into one of the leaders in the evolving healthcare IT industry,” said Dennis Chookaszian, Allscripts Chairman of the Board. “Glen began at the Company in 1997 when it was unprofitable, turned Allscripts around and achieved record revenues and profits in 2011. Along the way, Glen also grew the workforce to more than 7,000 employees. I also want to thank Lee Shapiro for his many important contributions to Allscripts, particularly with respect to our M&A strategy and international expansion.”
The Allscripts Chairman also feels optimistic about the new CEO and Presdient stating:
“Paul possesses a unique blend of operational, healthcare and IT sector expertise, and we are pleased that he has agreed to lead the Company at this critical juncture. Paul’s deep domain expertise in healthcare technology, industry relationships, and understanding of Allscripts’ solutions and client base make him the ideal choice. Together with our recently appointed Chief Financial Officer Rick Poulton, we are confident that we have a leadership team in place that can execute on our strategic initiatives, capitalize on the many global opportunities that lie ahead, and lead Allscripts through its next phase of growth.”
Black spent more than 12 years with Cerner Corporation and retired as its Chief Operating Officer in 2007. For most of his career at Cerner, Black was Chief Sales Officer. Prior to Cerner, Black was with IBM from 1982 to 1994, in a number of senior sales, marketing and professional services leadership positions. Since 2007, he has been a Senior Advisor with New Mountain Capital in New York and served as a Director with several New Mountain portfolio companies. Black recently has served as an operating executive with Genstar Capital, responsible for expanding Genstar’s healthcare and software practices, with specific focus on healthcare technology.
The Board’s focus at this time is to develop Allscripts’ long-term potential under the direction of the company’s new management team.
Mr. Black today inked a three-year employment deal with the company, with $1 million in annual base salary. He is also to be paid a $1.25 million signing bonus this year, according to the SEC filing.
In addition to Mr. Tullman, Allscripts President Lee Shapiro stepped down, effective today. Both men have entered into a consulting agreement with the company. Mr. Tullman will work up to five days a month for three months for a fee of $3,000 a day, unless he gets another full-time job. Mr. Shapiro will consult full time at a rate of $100,000 per month, the filing states.
As part of the separation agreement, Mr. Tullman will be paid one year’s salary plus a $160,000 bonus. His base salary in 2012 was $787,500.
Also announced Wednesday was the termination of Diane Adams, executive vice president of culture and talent.
