G. Kennedy Thompson
G. Kennedy Thompson | |
|---|---|
| Born | November 25, 1950 Clarksville, Virginia, U.S. |
| Other names | Ken Thompson |
| Occupation(s) | Business executive, banker |
| Years active | 1976–present |
| Known for | Chairman, president, and CEO of Wachovia Corporation (2000–2008) |
| Notable work | Led Wachovia to become the fourth-largest banking institution in the U.S. |
G. Kennedy Thompson, frequently referred to as Ken Thompson, (born November 25, 1950) is an American business executive and banker who led Wachovia Corporation, previously known as First Union Corporation, as chairman, president, and CEO from 2000 until 2008. During his tenure, Wachovia ascended to become the fourth-largest banking institution in the United States.
Early life
Thompson was born in Clarksville, Virginia and grew up in Rocky Mount, North Carolina. His father was employed as a textile mill manager. He enrolled at the University of North Carolina at Chapel Hill as a Morehead Scholar and was affiliated with Beta Theta Pi, graduating with a Bachelor of Arts degree in American Studies in 1973. He later earned an MBA from Wake Forest University in 1975.
Career
Starting in 1976, Thompson assumed multiple positions within First Union, including overseeing the New York loans office as manager, serving as senior vice president of human resources, vice president of Global Capital Markets, and leading First Union's Florida and Georgia divisions as president. In 2000, he was appointed chairman, president, and chief executive officer.
In September 2001, Thompson engineered the merger between First Union and Wachovia following First Union's defense against a hostile bid by SunTrust Bank. The combined organization retained the Wachovia brand. He successfully revitalized the company and earned recognition as BusinessWeek’s Business Person of the Year in 2003. In 2006, Wachovia expanded by acquiring Golden West Financial Corp. for approximately $26 billion at the height of the real estate market.
Thompson’s total earnings in 2007 amounted to $15.65 million, which included a base salary of $1.09 million alongside stock options and awards exceeding $14 million.
Golden West’s assets were heavily weighted toward subprime mortgage loans. As the U.S. housing market deteriorated, Thompson was removed from his leadership role at Wachovia on June 2, 2008. While he did not receive incentive compensation for that year, he was awarded a severance package of $1.45 million plus accelerated stock vesting valued at $7.25 million after more than three decades with the firm.
Following Thompson’s departure, Lanty Smith assumed interim CEO responsibilities until July 10, 2008, when Robert K. Steel succeeded him. Subsequently, Wachovia merged with Wells Fargo two months later.
In 2009, Thompson became affiliated with Aquiline Capital Partners, an equity investment firm based in New York.
In 2010, Wachovia resolved accusations related to laundering over $378 billion linked to Mexican drug cartels during Thompson’s leadership period. The settlement involved forfeitures totaling $110 million along with a $50 million penalty.
Professional affiliations
Thompson held the position of president for the Federal Reserve Board's Federal Advisory Committee and chaired several prominent organizations including The Clearing House, the Financial Services Roundtable, the Financial Services Forum, and the International Monetary Committee. His board memberships extended to Florida Rock Industries, Insteel Industries Inc., LendingTree, and Pinnacle Financial Partners. In 2011, he joined the board of BNC Bancorp, parent company of the Bank of North Carolina. Additionally, he served on the board of Hewlett-Packard (HP) from 2006 until April 2013, resigning after narrowly securing re-election with 55% shareholder approval.
Personal life
Thompson and his spouse, Kathylee, are parents to three children: Kenny, Scott, and Stacey. His affiliations span a variety of organizations such as Advantage Carolina, the Carolinas Healthcare System, the Charlotte Institute for Technology Innovation, Charlotte Latin School, the North Carolina Blumenthal Performing Arts Center, the PGA Tour, Teach For America, Wake Forest University, and the YMCA Metropolitan board. Furthermore, he holds a trustee position with the Morehead-Cain Foundation and has previously acted as both a board member and chairman for the United Way of Central Carolinas, Inc.