Mayo A. Shattuck III
Born1954 (age 69–70)
Boston, Massachusetts, U.S.
Alma materWilliams College
Board member of
Spouses
Jennifer W. Budge
​
​
(m. 1976; div. 1995)​
    ​
    ​
    (m. 1997; div. 2014)​
    [1]
    Children5
    WebsiteOfficial website

    Mayo A. Shattuck III (born 1954 in Boston, Massachusetts) is an American businessman and philanthropist. He currently serves as non-executive chairman of Chicago-based Exelon Corporation, co-chair of the Johns Hopkins University Capital Campaign and vice chairman of the board of Johns Hopkins Medicine.[2][3][4] Shattuck is involved in a number of philanthropic efforts, including those at the Johns Hopkins University, First Tee, and the University of Maryland Baltimore County and is a notable advocate for nuclear power.[5][6][7]

    Early life and education

    Shattuck was born in Boston, Massachusetts in 1954. He attended the Noble and Greenough School in Dedham, Massachusetts.[1] Shattuck received a Bachelor of Arts from Williams College in 1976 and an MBA from Stanford University in 1980. Shattuck graduated as an Arjay Miller Scholar from Stanford Graduate School of Business.[8][1][9]

    Shattuck's father was "heavily involved in the Boston investment community," and he managed Harvard's endowment and also served as a managing director at one of Boston's most respected institutional money managers. Shattuck's father passed away in 1974.[1]

    Career

    After completing his MBA at Stanford in 1980, Shattuck joined Bain and Co. in San Francisco where he worked with former Massachusetts governor and presidential candidate Mitt Romney. He also held a position at Morgan Guaranty Trust Co.[10]

    Alex. Brown & Sons

    In 1985, Shattuck joined the investment firm Alex. Brown & Sons and was soon after promoted to president and chief operating officer in 1991.[11][1] There he helped the company move through several challenging mergers and the eventual acquisition of the company by Deutsche Bank.[12][13] Howard Schultz, chairman and chief executive of Starbucks Coffee, called Shattuck a "brilliant strategist", referring to his time at Alex. Brown.[12] In 1997, Shattuck helped engineer the $1.7 billion merger of Alex. Brown and Sons and Bankers Trust resulting in him becoming a vice chairman of Bankers Trust Corp. and the co-chief executive officer of BT Alex. Brown. During this process, Shattuck was known for advocating on behalf of workers at Alex. Brown and serving as mediator between the executives of the two companies.[11] The new company was acquired by Deutsche Bank two years later, and Shattuck served as chairman of the board of Deutsche Bank Alex. Brown. Shattuck also served as the head of Investment Banking and Private Banking. Shattuck resigned on September 12, 2001 as head of Deutsche Bank Alex. Brown.[14]

    Constellation Energy Group

    On October 26, 2001, Shattuck was appointed president and CEO of Constellation Energy Group, and he was elected chairman of the board in July 2002.[15][16] Shattuck's early tenure at Constellation was characterized by the objective of refocusing the company on the energy sector by taking actions such as laying off 10% of the company's workers and selling off the company's Boeing 747, transport tanker, real estate assets, and nursing home business. Over the same period, he reversed an existing plan to divide the company with the assistance of Goldman Sachs and restructured the company to force more accountability to management.[17] In response to worsening conditions for American energy companies, Shattuck aimed to refinance Constellation's $5 billion debt load and secure more credit from banks allowing the acquisition of various weaker energy companies going into bankruptcy.[18] Shattuck's decisions were widely considered to be painful at first, but ultimately necessary to turn around and grow Constellation.[19][20]

    In the next few years, Shattuck expanded Constellation's operations in the financial sector, staking out large positions in energy commodity markets and complex derivative products financed by large, short-term loans. For instance, Shattuck led Constellation's activities in buying power from utility companies and reselling power to customers around the country in deregulated markets resulting in significant growth.[21] In expanding Constellation's energy trading activities, Shattuck predicted that only energy companies, and not financial firms, could create a market for energy derivatives and risk management in the energy industry.[22] While these operations contributed greatly to Constellation's profits over the period, they also increased the company's exposure to financial market developments. When credit ultimately dried up during the financial crisis, ratings agencies downgraded Constellation's debt and Constellation stock fell by 76% leading some to question whether Shattuck should continue to lead the company.[23]

    Nonetheless, general sentiment on Constellation's board was "overwhelmingly" to keep him citing his "imperturbability" amid chaos. Over the following few years, Shattuck steered the company through the global financial downturn, securing funding from Berkshire Hathaway to keep the company afloat while avoiding a buyout from the same company, preserving the independence of Constellation.[24] Finally in April 2011, Exelon corporation announced plans to acquire Constellation Energy.[25] The planned merger drew negative reactions from some but was ultimately approved by regulators and completed in March 2012. After Exelon completed its acquisition of Constellation Energy, Shattuck assumed the new role of executive chairman. Shattuck retired from Exelon on February 28, 2013 but remained on the board as non-executive chairman.[15] As a non-executive chairman less is required of Shattuck, allowing him to shift his focus from many of the daily tasks associated with leading the company.[26][27]

    Advocacy

    Spending much of his career in the energy industry after leaving Alex. Brown & Sons, much of Shattuck's advocacy centers around topics dealing with the future of electrical energy in the United States.

    One such major point of advocacy has been the deregulation of energy markets across the United States. While prior to the 1990s energy was largely distributed by government regulated monopolies, legislation in various states eventually led to competition between energy companies, thus forcing significant change in how energy companies distributed electricity.[28] In 2010, Shattuck spoke before the US Chamber of Commerce:

    "We have markets now where the important thing is that people have choice...Twenty-two states have broken up their regulated utilities to permit competition, he said, and costs have come down. "Deregulated markets do what they are supposed to do...Monopolies are not going to be the answer in terms of driving efficiencies, driving costs down and driving innovation"[29]

    Additionally, in contrast to many of his peers in the energy industry, Shattuck has been vocal in his support for a carbon tax stating,

    "We ought to address climate change, and address it through a price on carbon"

    In 2009, Shattuck released a statement on behalf of Constellation Energy backing a bill named the American Clean energy Security Act of 2009 which limited carbon emissions and promoted green energy generation.[30] Lastly and most notably, Shattuck is an outspoken advocate for American nuclear energy. In particular, Shattuck argues for additional sovereign support in the form of extension of government loan guarantees in the construction of nuclear reactors. Speaking to a Johns Hopkins audience, he stated that

    "if that upfront fee is really big, it's going to discourage people from wanting to take the loan, because there's so much money going out for a plant of that size. It is a process that we're in to get all parties to get their arms around the gap analysis"[31]

    During his time at Constellation Energy and Exelon, Shattuck served as chairman of the Institute of Nuclear Power Operations and a member of the Executive Committee of the Nuclear Energy Institute and Co-Chairman of the Commission on Nuclear Policy in the United States. After withdrawing from a joint project with EDF to operate nuclear plants in the United States, Shattuck continues to advocate for nuclear energy.

    Controversy

    Maryland began to deregulate electricity in the early 2000s (prior to Shattuck's tenure at Constellation) which would ultimately lift the state's electricity rate price caps. This development coincided with large hurricanes in the southeastern United States reducing natural gas production in 2007. All of this resulted in Baltimore Gas and Electric Company, a regulated utility company subsidiary of Constellation Energy Group, having to raise electricity rates by 72%. Opponents argued that increased revenues from Constellation profits should be used to subsidize utility prices and keep them low. Shattuck himself was scrutinized for contributing $8,000 in the Maryland gubernatorial election.[32] On the other hand, defenders point out that BG&E is legally separated from Constellation and is heavily regulated by the state's Public Service Commission to keep levels of profitability in check.[33] The Maryland General Assembly ultimately put up a temporary measure to limit price increases to 15%.[26]

    Other affiliations

    In 1997, Mayo Shattuck was made trustee of the Seagram Company, Ltd. Shattuck also serves as an independent director at several corporations including:

    Previously, he served as co-chairman of the Center for Strategic and International Studies Commission on Nuclear Policy in the United States.[26][38]

    Philanthropy

    During and after his tenure as the head of Alex. Brown & Sons, Shattuck served as the president of the Alex. Brown & Sons Charitable Foundation. Alongside seven other trustees, Shattuck managed the endowment and gave donations to institutions in the Baltimore area. Notable among these activities were million dollar grants given to the Baltimore Museum of Art, the Baltimore Zoo, and Johns Hopkins Hospital (alongside other similar Baltimore institutions).[39]

    Since joining Constellation Energy in 2001, Shattuck focused much of his philanthropy on Johns Hopkins University (JHU). In 2004, he was elected to the board of trustees of Johns Hopkins Medicine.[40] In 2007, he donated $1 million to a new burn unit in the Children's Center at the Johns Hopkins University Hospital.[41] Resulting from this donation, the hospital will construct The Shattuck Family Pediatric Burn Unit, which consists of 205 private treatment rooms. In addition to the rooms for patient care, the burn unit will include facilities used for education of students, fellows, and residents at The Johns Hopkins Hospital.[42] Presently, he serves as co-chair of the JHU Capital Campaign. Shattuck has played a large part in leading this effort to raise funds from donors to support the academic mission of the Johns Hopkins University, especially through the "Rising to the Challenge" campaign.[43][44]

    Outside of Johns Hopkins, Shattuck is also a trustee of First Tee, an organization focused on bringing "affordable junior golf programs to communities that do not have them, especially in economically disadvantaged areas."[7]

    He also established the Shattuck family internship at University of Maryland Baltimore County. This internship provides support and education to students interested in entrepreneurship and business leadership.[6]

    Personal life

    Mayo Shattuck married Jennifer W. Budge in 1976. The couple had two children, Mayo Shattuck IV and Kathleen Shattuck.[45] They divorced in 1995.[46]

    In 1997, Shattuck married Molly Shattuck (née George), They have three children: Spencer, Wyatt and Lillian. In March 2014, Molly Shattuck said she was separated from her husband.[47] On September 29, 2014, Mayo Shattuck filed for divorce. On November 3, 2014, the Shattucks were officially divorced in Baltimore County, Maryland.[48] Prior to the divorce, Molly Shattuck was charged and convicted of having an inappropriate sexual relationship with a 15-year-old boy.[49][50][51]

    References

    1. 1 2 3 4 5 Rulison, Larry (31 December 2001). "Boundless energy: Shattuck relishes steep learning curve at Constellation". Baltimore Business Journal. Retrieved 5 November 2014. A 1995 Baltimore Sun article reported his divorce from his first wife Jennifer after nearly 20 years of marriage and suggested that his busy schedule hampered his family life. Shattuck remarried in 1997 to Molly George Shattuck, who used to be director of the Pikesville Sylvan Learning Center.
    2. ↑ "Mayo A. Shattuck III - Board of director profiles - Exelon". www.exeloncorp.com. Retrieved 2017-07-18.
    3. ↑ "Campaign Cabinet". rising.jhu.edu. Retrieved 2017-07-18.
    4. ↑ "Johns Hopkins Medicine Board of Trustees". Retrieved 2017-07-18.
    5. ↑ "Johns Hopkins Gazette | March 12, 2007". pages.jh.edu. Retrieved 2020-04-17.
    6. 1 2 "The Shattuck Family Internship Program - Alex. Brown Center For Entrepreneurship at UMBC". entrepreneurship.umbc.edu. Retrieved 2020-04-17.
    7. 1 2 "Trustees - The First Tee". The First Tee. Retrieved 2017-08-07.
    8. ↑ "#136 Mayo A Shattuck III - Forbes.com". www.forbes.com. Retrieved 2017-06-20.
    9. ↑ "Mayo A. Shattuck III: Executive Profile & Biography - Bloomberg". www.bloomberg.com. Retrieved 2017-07-18.
    10. ↑ "Capital One - Investor Relations - SEC Filings". investor.capitalone.com. Retrieved 2017-07-29.
    11. 1 2 Atkinson, B. (1998, Nov 28). "Holding it together; executive: Mayo A. Shattuck III spends much of his time these days trying to meld the cultures of Alex. Brown and Bankers Trust." The Sun ProQuest 406384095
    12. 1 2 "A legend at 40 at Alex. Brown". tribunedigital-baltimoresun. Retrieved 2017-07-29.
    13. ↑ "Powerhouse". tribunedigital-baltimoresun. Retrieved 2017-07-29.
    14. ↑ "Chief Steps Down At Alex. Brown". The New York Times. 2001-09-15. Retrieved 2008-01-14.
    15. 1 2 "Shattuck retires as Exelon executive chair; paid $8M in 2012". www.bizjournals.com.
    16. ↑ "CEO Leadership Series featuring Mayo A. Shattuck III, Constellation Energy". U.S. Chamber of Commerce Foundation. 2010-07-29. Retrieved 2017-07-29.
    17. ↑ "The Ultimate CEOs: Constellation Energy's Mayo A. Shattuck III". Fortnightly. Retrieved 2017-07-29.
    18. ↑ "FPL, Constellation scrap $12.5 billion merger". Reuters. October 25, 2006. Retrieved 2017-07-29.
    19. ↑ Dan, T. D. (2003, Feb 09). "A rescue fueled by back-to-basics ; turnaround: Mayo shattuck's strategy in pulling constellation from the mire was to get back to the business of producing energy.": [Final edition]. The Sun ProQuest 406541673
    20. ↑ Little, Robert. "Constellation headquarters staying in Baltimore". baltimoresun.com. Retrieved 2017-07-29.
    21. ↑ Donlan, Thomas G. (2004-06-07). "Juiced Up". Wall Street Journal. ISSN 0099-9660. Retrieved 2020-04-19.
    22. ↑ "Regaining energy". The Economist. ISSN 0013-0613. Retrieved 2020-04-19.
    23. ↑ Hancock, Jay (18 September 2008). "In propping up Constellation, don't let BGE customers fall". baltimoresun.com. Retrieved 2020-03-23.
    24. ↑ Hancock, J. (2009, Feb 21). Dubious Record, High Praise for Shattuck. The Baltimore Sun ProQuest 406225009
    25. ↑ "I'll take Tom, and hold the Mayo - The Boston Globe". BostonGlobe.com. Retrieved 2017-07-29.
    26. 1 2 3 4 5 Smith Hopkins, Jamie (15 March 2013). "Former Constellation CEO Shattuck retires from Exelon — but remains on its board". baltimoresun.com. Retrieved 2020-03-11.
    27. ↑ "Former Constellation CEO Shattuck retires from Exelon — but remains on its board". baltimoresun.com. 15 March 2013.
    28. ↑ "Constellation Energy Group CEO & President Mayo Shattuck Kicks Off CEO@Smith for New Academic Year". Robert H. Smith School of Business, University of Maryland. Retrieved 2020-04-19.
    29. ↑ "Constellation Energy CEO: A few kind words about Enron | Energy Central". energycentral.com. 6 July 2018. Retrieved 2020-04-19.
    30. ↑ "Constellation Energy backs federal greenhouse gas emissions bill". www.bizjournals.com.
    31. ↑ Behr, Peter (November 16, 2009). "Industry 'renaissance' held up by fight between DOE and OMB". www.eenews.net. Retrieved 2020-04-19.
    32. ↑ John Fritze, Andrew A Green, and Kelly Brewington. (2006, Mar 28). "High rate of generosity ; under fire for energy costs, constellation a big donor in Annapolis": [Final edition]. The Sun ProQuest 406685210
    33. ↑ Adams, P. (2006, Mar 12). "Constellation's CEO defends rates, merger" ; Interview // Mayo A. Shattuck III: [Final edition]. The Sun ProQuest 406706190
    34. ↑ "Capital One Financial Corp Board of Directors". insiders.morningstar.com. Retrieved 2017-08-07.
    35. ↑ "Capital One - Investor Relations - SEC Filings". investor.capitalone.com. Retrieved 2017-08-07.
    36. ↑ "Gap, Inc". Reuters. Retrieved 2017-08-07.
    37. ↑ "Alarm.com | Board of Directors". investors.alarm.com. Retrieved 2017-08-07.
    38. ↑ "Commission Members | Center for Strategic and International Studies". www.csis.org. Retrieved 2017-08-07.
    39. ↑ "Alex. Brown foundation gifts $10 million to local groups - Baltimore Business Journal". webcache.googleusercontent.com. Retrieved 2020-04-19.
    40. ↑ Simpkins, Beth. "Dresher, Modell, Shattuck Elected to Hopkins Medicine Board". www.hopkinsmedicine.org. Retrieved 2020-03-11.
    41. ↑ "Johns Hopkins Gazette | March 12, 2007". pages.jh.edu. Retrieved 2017-08-07.
    42. ↑ "Johns Hopkins Gazette | March 12, 2007". pages.jh.edu. Retrieved 2020-03-11.
    43. ↑ "Johns Hopkins concludes its 'Rising to the Challenge' capital campaign". The Hub. 2018-10-12. Retrieved 2020-03-11.
    44. ↑ "Q4/FY17 Progress Report: Rising to the Challenge". rising.jhu.edu. Retrieved 2017-08-07.
    45. ↑ Mallozzi, Vincent M. (2012-10-21). "Kathleen Shattuck, George Markov - Weddings". The New York Times. ISSN 0362-4331. Retrieved 2017-08-03.
    46. ↑ "A legend at 40 at Alex. Brown". tribunedigital-baltimoresun. Retrieved 2017-08-03.
    47. ↑ "Molly and Mayo Shattuck separate after 16 years of marriage". The Baltimore Sun. 13 March 2014. Retrieved 5 November 2014.
    48. ↑ Miller, Jayne (7 November 2014). "Shattucks' divorce case quickly resolved, sealed". WBAL-TV. Retrieved 10 November 2014.
    49. ↑ Heil, Emily (5 November 2014). "Former Ravens cheerleader Molly Shattuck arrested, charged with rape of teen". The Washington Post. Retrieved 5 November 2014.
    50. ↑ Nitkin, Karen (13 March 2014). "Molly's solo act: Newly separated, focus is on new book and raising her family". The Baltimore Sun. Retrieved 5 November 2014.
    51. ↑ Hellgren, Mike (5 November 2014). "Molly Shattuck Indicted On Charges Related To Sexual Contact With Minor". WJZ-TV. Retrieved 5 November 2014.
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