SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
Current Report Pursuant
to Section 13 or 15(d) of the
Securities Exchange Act of 1934
November 24, 2004
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(Date of Report - Date of Earliest Event Reported)
First Cash Financial Services, Inc.
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(Exact name of registrant as specified in its charter)
Delaware
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(State or other jurisdiction of incorporation)
0-19133 75-2237318
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(Commission File Number) (IRS Employer Identification No.)
690 East Lamar Blvd., Suite 400, Arlington, Texas 76011
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(Address of principal executive offices, including zip code)
(817) 460-3947
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(Registrant's telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
|_| Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
|_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|_| Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
|_| Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 5.02 Departure of Directors or Principal Officers; Election of Directors;
Appointment of Principal Officers
First Cash Financial Services, Inc. has issued a press release announcing
a leadership succession plan. As described fully in the press release
included in this filing as Exhibit 99.1, the Company anticipates that the
current Chairman of the Board and Chief Executive Officer, Mr. Phillip
(Rick) Powell will resign from his position as Chief Executive Officer,
but will remain on the Board of Directors in the role of Chairman. In
addition, it is expected that Mr. Rick Wessel, current President of the
Company, will assume the additional role and title of Vice Chairman of the
Board of Directors and that Mr. J. Alan Barron, current Chief Operating
Officer, will assume the additional role and title of Chief Executive
Officer. The timing of these changes is expected to occur in the near
future, which will be determined at the discretion of the Board of
Directors, and the Company will disclose the occurrence of such changes in
a subsequent Form 8-K. The Company has not yet effected any changes in
existing employment agreements with the aforementioned officers, nor has
it yet entered into new employment or consulting agreements with them as a
result of the anticipated succession plan.
Item 9.01 Financial Statements and Exhibits
99.1 Press Release dated November 24, 2004 announcing the Company's
anticipated leadership succession plan.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Dated: November 24, 2004 FIRST CASH FINANCIAL SERVICES, INC.
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(Registrant)
/s/ R. DOUGLAS ORR
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R. Douglas Orr
Chief Accounting Officer
2
Exhibit 99.1
First Cash Announces Leadership Succession Plan
ARLINGTON, Texas, Nov. 24 /PRNewswire-FirstCall/ -- The Board of Directors
of First Cash Financial Services, Inc. (Nasdaq: FCFS) today announced a
leadership succession plan which it anticipates implementing in the near
future. The Board maintains an active oversight role over management and the
operations of the Company and feels that long-term succession planning is a
necessary and desirable part of good corporate governance. The changes
outlined in the plan will reflect the current roles and responsibilities of
the Company's senior management team that have evolved over the past decade.
The exact timetable for implementing the plan will be at the discretion of the
Board of Directors, based upon what it believes to be in the best interests of
the Company.
Under the anticipated succession plan, Mr. Phillip (Rick) Powell, who has
served as Chairman and Chief Executive Officer since 1992, will relinquish his
role as Chief Executive Officer, but will remain in his current role as
Chairman of the Board of Directors. In addition, Mr. Powell will remain
involved in the Company's growth and strategic planning activities through a
formalized, long-term consulting arrangement. Mr. Powell has been involved
with First Cash since before it became a publicly-held company in 1991.
As part of the transition, Mr. Rick L. Wessel, a Director and President of
the Company, will assume the additional role of Vice Chairman of the Board of
Directors, while remaining as the President. The title of Vice Chairman will
recognize Mr. Wessel's key role on both the Board of Directors and as a member
of the executive management team where he will continue to focus on matters of
strategic planning, regulatory and legal affairs. Mr. Wessel joined the
Company in 1992 as its Chief Financial Officer after being employed by Price
Waterhouse LLP for approximately nine years.
Mr. J. Alan Barron, who is currently the Chief Operating Officer of the
Company with responsibility for all domestic and international operations,
will become the Chief Executive Officer. In this role, Mr. Barron will be the
Company's senior executive officer, responsible for directing the Company's
expansion strategy and for management of all facets of operations. Mr. Barron
will also retain his current role and title as Chief Operating Officer.
Mr. Barron joined the Company in 1994 as its Chief Operating Officer. He
served in this capacity from January 1994 to May 1998 and from January 2003 to
the present. For the period from May 1998 to January 2003, Mr. Barron served
First Cash as President - Pawn Operations. Prior to joining the Company, Mr.
Barron worked for two years as the Chief Financial Officer for a privately-
held pawnshop chain and prior to that for five years in the Fort Worth tax
practice of Price Waterhouse LLP. Mr. Barron holds BBA and MBA degrees from
Texas Tech University.
Speaking in regard to the anticipated succession plan, Mr. Powell stated,
"This transition represents a logical progression in the growth of First Cash
Financial Services. After 13 years as CEO, I want to continue to make a
significant contribution, but in a role that recognizes and rewards our senior
staff who have developed successfully, executing many of the functions I have
performed in the past. Keeping our very experienced senior management team
together for the long-term is, in my opinion, a critical factor in both our
past and future success. These changes, when implemented, will help us
accomplish this objective."
In summary, Mr. Powell noted, "I am proud of the Company's
accomplishments, which are evidenced by our many enthusiastic and dedicated
employees, our financial strength and exciting plans for the future. We have
a highly skilled management team that works well together, which has been a
critical element in our progress as a company and as an industry leader in so
many areas. The new alignment of titles and roles will enhance the ability of
our key personnel to continue to provide significant contributions to the
Company, while recognizing them for their expanded responsibilities. We have
an excellent corporate culture that rewards hard work, accomplishment and
results, and we are committed to maintaining it."
In addition to these anticipated aspects of the succession plan, the Board
announced that Mr. R. Douglas Orr will be promoted to Executive Vice President
while remaining as the Company's Chief Financial Officer. Mr. John C. Powell
will be promoted to Senior Vice President and will remain in the role of
Director of Information Technology. Ms. Jan Hartz, currently Vice President
of Human Resources, will be promoted to Vice President of Human Resources and
Administration.
About First Cash
First Cash Financial Services, Inc. is engaged in the operation of pawn
and check cashing/short-term advance stores, which lend money on the
collateral of pledged personal property, retail previously-owned merchandise
acquired through loan forfeitures, and provide short-term advances, check
cashing and other financial services. The Company currently owns and operates
280 pawn and check cashing/short-term advance stores in eleven states and
Mexico. First Cash Financial Services is also an equal partner in Cash & Go,
Ltd., a joint venture, which owns and operates 40 financial services kiosks
located inside convenience stores. First Cash's common stock is traded on the
Nasdaq Stock Market under the ticker symbol "FCFS" and it is a component
company in the Russell 2000 Index.
First Cash has been recognized for three consecutive years by Forbes
magazine as one of its "200 Best Small Companies." The 2004 ranking, which is
based on a combination of profitability and growth performance measures over
the most current one and five-year periods, placed First Cash 130th out of
3,500 companies evaluated by Forbes. In addition, First Cash was recently
ranked 25th by Fortune Small Business magazine on the "FSB 100: America's
Fastest-Growing Small Public Companies."
Forward-Looking Statements
This release may contain forward-looking statements about the business,
financial condition and prospects of First Cash Financial Services, Inc.
Forward-looking statements can be identified by the use of forward-looking
terminology such as "believes," "projects," "expects," "may," "estimates,"
"should," "plans," "intends," or "anticipates" or the negative thereof, or
other variations thereon, or comparable terminology, or by discussions of
strategy. Forward-looking statements in this release include, without
limitation, the anticipated implementation and expected results of the
leadership succession plan. These statements are made to provide the public
with management's assessment of the Company's business. Although the Company
believes that the expectations reflected in forward-looking statements are
reasonable, there can be no assurances that such expectations will prove to be
accurate. Security holders are cautioned that such forward-looking statements
involve risks and uncertainties. The forward-looking statements contained in
this release speak only as of the date of this statement, and the Company
expressly disclaims any obligation or undertaking to release any updates or
revisions to any such statement to reflect any change in the Company's
expectations or any change in events, conditions or circumstance on which any
such statement is based. Certain factors may cause results to differ
materially from those anticipated by some of the statements made in this
release. Such factors are difficult to predict and many are beyond the
control of the Company, but may include changes in regional, national or
international economic conditions, the ability to open and integrate new
stores, the ability to maintain favorable banking relationships as it relates
to short-term lending products, changes in governmental regulations,
unforeseen litigation, changes in interest rates, changes in tax rates or
policies, changes in gold prices, changes in foreign currency exchange rates,
future business decisions, and other uncertainties.
SOURCE First Cash Financial Services, Inc.
-0- 11/24/2004
/CONTACT: Rick Wessel, President, or Doug Orr, Chief Financial Officer,
both of First Cash Financial Services, Inc., +1-817-460-3947, or
investorrelations@firstcash.com /
/Web site: http://www.firstcash.com /
(FCFS)
CO: First Cash Financial Services, Inc.
ST: Texas
IN: FIN REA
SU: PER