What does an ex-airline and oil exec know about banks? More than you might think.
Glenn Tilton, the former chief executive of United Airlines and Texaco, was named chairman of JPMorgan Chase’s Midwest business and a member of its executive committee Monday. Tilton replaces Wil liam Daley, who took over as White House chief of staff in January.
Following in the footsteps of someone as well-connected as Daley would be difficult for many people. But Tilton brings with him decades of influence in Washington, strong business ties across the Midwest and a deep understanding of the regulatory process. He’s also a veteran of a congressional inquiry, having testified before Congress many times during his four-decade-long career in the oil and airline industries.
With banks still under a regulatory microscope over their role in the mortgage mess and the financial crisis, Tilton’s experience will come in handy. Some of JPMorgan’s businesses remain under investigation by state attorneys general or federal regulators such as the Securities and Exchange Commission.
Tilton, 63, also brings deep relationships with Midwest businesses. Most had ties to Chicago-based United, which Tilton ran from 2002 until last year. And Tilton, like most former CEOs, is no stranger to bank dealings. He leaned heavily on financing from JPMorgan and Citibank as he worked through a $23 billion restructuring of United. That effort began with a bankruptcy filing in 2002 and ended in a merger with Continental Airlines last year.
“I was in the oil-and-gas business from 1970 onward. I first testified before Congress when I was 38 years old. So I have developed relationships in Washington that are deep,” Tilton said. “I have a good bit of experience in the dialogue around complexities of the oil and airline industries, something that the financial-services industry can appreciate.”
Before taking the helm at United, Tilton spent 32 years with Texaco, eventually becoming CEO. His first job was servicing gas stations in the Washington, D.C., area. His tenure at Texaco ended when the company merged with Chevron in 2001.
So how did he wind up at JPMorgan?
“Chase was the lead bank in the merger of UAL and Continental,” Tilton said. “I left my position at UAL after the merger, just as Daley was leaving for the White House, so it was all quite serendipitous.”
