Walgreens Boots Alliance has appointed Tim Wentworth CEO, effective Oct. 23, and will also welcome him to its board of directors.
Four things to know:
1. Mr. Wentworth has nearly 30 years of healthcare experience, with expertise in the payer and pharmacy space, as well as in supply chain, IT and human resources, the company said in an Oct. 11 news release. Most recently, he served as CEO of Evernorth, Cigna's health services platform that partners with health plans, employers and government organizations.
2. He also served as CEO of Express Scripts following its merger with Medco Health Solutions in April 2012, growing it into a Fortune 22 company with more than $100 billion in revenue and 26,000 employees. Mr. Wentworth previously led Medco's employer and key accounts organizations for almost 14 years and served as CEO of Accredo, Medco's specialty pharmacy.
3. The appointment reinforces WBA's intention to position itself more as a healthcare company than a pharmacy chain. The company said it is focused on right-sizing its business and becoming "the independent partner of choice," not just in pharmacy but also in healthcare services where it aims to improve healthcare and lower costs. "We are confident [Mr. Wentworth] is the right person to lead WBA's next phase of growth into a customer-centric healthcare company," Executive Chair Stefano Pessina said.
4. Mr. Wentworth will receive an initial base salary of $1.5 million and will be eligible for an annual bonus with a target payout of 200 percent of base salary under WBA's corporate bonus program, according to an Oct. 11 filing with the Securities and Exchange Commission. He will also be eligible for long-term incentives through the company's omnibus incentive plan on terms and conditions set by the compensation committee. Subject to board approval, WBA will also provide Mr. Wentworth with an initial equity incentive award with a grant date value equal to $12 million, which is expected to be comprised of 50 percent performance stock units and 50 percent restricted stock units, each vesting over three years.
"WBA has a differentiated model with the power to build on the company’s pharmacy strength and trusted brand to evolve healthcare delivery," Mr. Wentworth said in the news release. "I fully recognize the challenges that health plans, healthcare providers, pharmacies and retailers are confronting today and am confident that WBA, and its customer- and patient-focused teams, can seize the opportunities of a dynamic marketplace and be the partner of choice."