AutoNation names Cheryl Miller CEO; Liebert leaves after 4 months

AutoNation Inc., just months after naming an outsider to lead the nation's largest auto retailer, has a new CEO in Cheryl Miller, who becomes the first woman to lead a publicly traded dealership group.

Miller, AutoNation's CFO, was named CEO and president of the Fort Lauderdale, Fla., company on Monday, replacing Carl Liebert. Liebert, the former COO of  insurance provider USAA who was chosen out of hundreds of applicants in a months-long search, was hired in February and took office March 11 to lead AutoNation as Mike Jackson moved to executive board chairman.

Miller, 47, also was named to AutoNation's board of directors. Both appointments are effective immediately.

Jackson told Automotive News late Monday that Miller in February was the runner up for the top job.

“She was right there. As I said back then, we reached for some exciting capabilities that we thought, we know Carl brought to the table,” Jackson said. “Unfortunately, it wasn’t a fit in automotive retail. It was mutually agreed that it wasn’t a good fit.”

Miller has worked closely with Jackson for 10 years, the past five as CFO.

“It’s just exciting that America’s largest automotive retailer and for the first time for any of the publicly traded auto retailers, we have a woman leading the largest automotive retail enterprise,” Jackson said. “I think it’s quite something and exciting. I’m very much looking forward to working with Cheryl on the next chapters of the company.”

Liebert, who was not available for comment, will remain with the retailer for the next month to help with the transition, the company said. Liebert was chosen for his expertise in logistics and digital platforms. He had also worked at Circuit City, Home Depot and General Electric.

Jackson, appearing on CNBC Tuesday morning, said there is “no other shoe” to drop in why AutoNation and Liebert are parting ways.

“It wasn’t for a lack of effort, a lack of commitment. You see the actual results are good,” Jackson said. “It is really just an issue of a cultural fit that he and I discussed on an ongoing basis and decided that that wasn’t going to resolve with more time and we should just mutually agree to call it a day.”

On Monday Jackson told Automotive News that the board of directors had met and he asked Miller earlier in the day if, depending on what was decided, she would agree to serve as CEO and president to which she said yes.

“We went into this with our eyes wide open that Carl was coming from outside the industry and outside of automotive retail,” Jackson said.

Jackson had led the company for nearly two decades and has long been a leading voice in automotive retail, often speaking up on issues impacting dealers — large and small — such as automakers’ use of stair-step programs and tightening new-vehicle margins.

Miller's first decision as CEO was naming Jim Bender, 63, executive vice president of sales and a longtime AutoNation executive, as its chief operating officer. AutoNation also named Christopher Cade, senior vice president and chief accounting officer, as interim CFO while AutoNation conducts a search for a new one.

The executive moves were announced shortly before the company reported second-quarter financial results, a day earlier than scheduled. Net income from continuing operations rose 3.7 percent to $101 million from the same period a year ago, while revenue of $5.3 billion was down slightly.

AutoNation shares surged 11.1 ercent to close the day at $46.61. 

While at AutoNation, Miller has led a number of initiatives for the giant retailer, including leading the company's partnership with Waymo, the automated driving unit of Alphabet Inc's Google. She also has helped the company to reorganize its operations and financial footprint, which included consolidating its regions and implementing a cost savings plan earlier this year.

“This is a business that runs around the clock and you have to understand and appreciate the fact that every day in the stores customers are sitting there with associates. So you have to respect the retail element and understand the structure of it, both operationally and financially,” Miller told Automotive News on Monday. “I’ve been very fortunate to sit on the automotive retail side, the rental side, the used side, captive finance. I’ve had a front row seat, for better or for worse, through the Great Recession. And so I think having that stability and background combined with the excitement for the future of being able to lead the organization in that fashion is fantastic.”

Miller, who has been recognized by Automotive News as one of the 100 Leading Women in the North American automotive Industry, has experience in a number of corporate areas including mergers and acquisitions, cybersecurity, digital retail and alliances. She also serves on the board of Tyson Foods Inc. Miller previously worked for JM Family Enterprises and Alamo/National Car Rental brands.

VIDEO: 2015 Leading Women profile on new AutoNation CEO Cheryl Miller

AutoNation Inc. ranks No. 1 on Automotive News' list of the top 150 dealership groups based in the U.S., retailing 310,839 new vehicles in 2018. It retailed 237,722 used vehicles for the same period, ranking it No. 3 on Automotive News' list of the top 100 dealership groups in used-vehicle sales.