Aarons 2012 Annual Report Download - page 5

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• In recognition of their outstanding performance and
broadened operational responsibilities, long-time
divisional Vice Presidents David L. Buck and Tristan
J. Montanero were both promoted at the beginning
of 2013 to the new position of Senior Vice President,
Operations. In conjunction with this organizational
change, Ryan E. Malone was promoted to Vice
President, Southwestern Operations, and Christopher
B. Ruffino was promoted to Vice President,
Central Operations.
Our Board of Directors added two new members
in 2012 — Kathy T. Betty, a prominent Atlanta
businesswoman and former owner of the WNBA’s
Atlanta Dream; and Hubert L. Harris, Jr. the former
CEO of Invesco North America. We look forward to
their valued service on the Board.
This past September, R. Charles Loudermilk, Sr.,
founder of Aaron’s in 1955, retired as Chairman.
Charlie’s vision, entrepreneurial instincts, leadership,
knowledge, and drive built Aaron’s into a position of
industry leadership. We all owe Charlie gratitude for
the business he started and the values he instilled in
Aaron’s and wish him well in the years ahead.
Lastly, I am honored to follow in Charlie’s footsteps as
the newly selected Chairman of the Board.
Simply put, Aaron’s is a good company filled with great
people who make a difference. I am very enthusiastic
about the current state of the organization and our
future prospects.
Ronald W. Allen
Chairman, President and Chief Executive Officer
were outstanding agreements for the opening of 180
franchised stores over the next several years.
• Our Woodhaven Furniture Industries Division provides
the majority of our upholstered and bedding products.
Woodhaven had a record year in 2012, manufacturing
$95 million (at cost) of furniture and bedding for
our stores.
• Approximately $60 million of cash from operations
was generated in 2012. The Company’s balance sheet
is quite solid with more than $200 million in cash and
investments on hand and limited debt. During the year
1.2 million shares of common stock were repurchased
and there is authorization to purchase an additional
four million shares.
This past year I spent much of my time visiting stores
across the country and meeting with our associates.
The ongoing development, training and recruitment
of skilled associates are critical to our continued
success. Much of last year’s efforts were focused
on enhancing our corporate planning process and
improving corporate infrastructure. Additionally, there
are significant initiatives underway in information
technology, which will enable store personnel to better
serve customers in a more efficient, cost-effective and
customer-friendly manner.
We have also been strengthening our management team:
• Andrea P. Freeman recently joined Aaron’s as Vice
President of Marketing, bringing extensive experience,
knowledge and new ideas to Aaron’s marketing
promotions and initiatives.
• During the fourth quarter, we selected a new leader
for our HomeSmart Division. Roger N. Estep, a
25-year veteran of the weekly rental pay industry and
a nine-year Aaron’s associate, most recently as a Senior
Regional Manager, was promoted to Vice President,
HomeSmart Division. 3