Key Takeaways
- Penn Entertainment has announced a new corporate organizational structure to reflect its strategic priorities and improve operational efficiencies
- The company is realigning its interactive focus on its digital omnichannel business assets in Canada and its Hollywood iCasino product in the United States
- Executive Vice President, Operations, Todd George and Senior Vice President, Chief Information Officer, Rich Primus will step down and their positions will be eliminated
- The new structure aims to deepen customer engagement, maximize free cash flow, and drive shareholder value
- Penn is evaluating additional opportunities to strengthen and streamline its operations and will provide an update when it reports its fourth quarter financial results in February
Introduction to the New Corporate Structure
Penn Entertainment has announced a new corporate organizational structure, effective immediately, designed to reflect the company’s strategic priorities. The new structure is aimed at achieving greater operational efficiencies, deepening customer engagement across channels, maximizing free cash flow, and driving shareholder value. According to Penn CEO and President Jay Snowden, the company is restructuring its corporate organization to achieve these goals as it turns the calendar to 2026. The new structure will realign the company’s interactive focus on its digital omnichannel business assets in Canada and its Hollywood iCasino product in the United States, further leveraging its core retail casino business and overall omnichannel business model.
Leadership Changes
As part of the new corporate structure, Executive Vice President, Operations, Todd George and Senior Vice President, Chief Information Officer, Rich Primus will step down and their positions will be eliminated. George served at Penn for more than 13 years in various capacities, including as Vice President and General Manager of the Hollywood Casino properties in Lawrenceburg, Indiana, and St. Louis, Missouri, and as Senior Vice President of Regional Operations for the Midwest. He helped "reimagine and modernize the entertainment experience" at Penn’s properties and oversaw the opening of Hollywood Casino Joliet in Illinois and the second hotel tower at the M Resort Spa Casino in Henderson, Nevada. Primus, on the other hand, has served as Penn’s CIO for more than 10 years, helping develop and execute the company’s strategic technology plan and cybersecurity framework.
New Reporting Structure
The new corporate structure also includes changes to the reporting lines of several senior executives. Penn’s Senior Vice Presidents of Regional Operations – Rafael Verde, Aaron Rosenthal, and Justin Carter – will continue regional oversight of Penn’s retail operations. Verde and Rosenthal will report to Snowden, while Carter will report to Verde. Additionally, Penn Chief Marketing Officer Jennifer Weissman will report to Snowden and focus on maximizing omnichannel results, including working closely with Aaron LaBerge, Chief Technology Officer and Head of Interactive, to further enhance the Penn Play loyalty program, its overall value proposition, and cross-sell execution.
Unified Technology Organization
The new structure will also create a unified technology organization, aligning Penn’s retail, digital, data, cloud, and security platforms under a single leadership structure. This will reduce duplication, improve capital efficiency, and accelerate the company’s ability to design, build, and deploy scalable new products and omnichannel capabilities in support of Penn’s businesses. LaBerge will assume responsibility for Penn’s enterprise IT functions, in addition to maintaining his current responsibilities, and will continue to report to Snowden. The company has started a search for a Digital Chief Operating Officer to help oversee the day-to-day operations of the interactive segment and enable LaBerge to spend more time with the combined technology teams.
Future Plans and Appreciation
Snowden expressed his appreciation for the contributions of George and Primus to Penn’s evolution over the past decade, saying they helped build the strong foundation the company has in place today. He wished them well in their future endeavors. The company is evaluating additional opportunities to strengthen and streamline its operations and will provide an update when it reports its fourth quarter financial results in February, including the anticipated annualized cost savings and improved free cash flow generation related to the new corporate organizational structure and optimization initiatives. This update will provide further insight into the company’s plans and expectations for the future.
