A great Orange County family-business dynasty is winding down. The Parker-Kennedy clan has reigned at First American Corp.,the nation’s biggest title insurer and OC’s second biggest public company by revenue,since its founding by C.E. Parker in 1894. But great grandson and current boss Parker Kennedy is 60 and neither of his grown kids works for the company. Kennedy will remain chairman of both companies under the plan to separate First American’s title and data businesses, but hired execs will take over as the CEOs. Last week his legendary dad Donald Kennedy retired from the board while Boston hedge fund Highfields Capital Management gained five of the now 17 seats. The newcomers include Patrick Stone, former COO of First American’s archrival Fidelity National Financial. The Kennedys own about 4% of the stock, compared with nearly 10% for Highfields, which is pushing for changes as the housing slump has hammered First American. The stock is down about 30% during the past 12 months. The gentlemanly Parker, who amid cost-cutting last year reduced his own salary and donated his $800,000 bonus to a pool for other employees, concedes, “It’s kind of rough out there.” But he says he and Highlands,which as a condition of gaining the board seats won’t increase its stake,”have the same goal, for First American to do as well as it can.” He says he likes the new outside directors and stresses that Stone is a former Fidelity guy. Parker sees the family maintaining its sizable stake in First American: “I can’t think of a better place to have my money” …
Donald Kennedy, as good-natured as his son, says he stepped down from the board “because I really should,I’m dang near 90!” He says the company he served and led for 60 years faces “some interesting stockholder deals, but I think Park can handle them.” Donald will stay busy: “I’m on enough charitable boards to feed me the rest of my life” …
Disneyland Resort Prez Ed Grier addresses the OC Forum luncheon Wednesday at the Hilton …
Correction: The Insider got a little ahead of things last week by implying that UCI’s yet-to-open law school already had a ranking from U.S. News & World Report …
92-year-young Josie Sim came in from Phoenixville, Pa., to join family and friends at the Island Hotel for the 50th wedding anniversary of her “kids,” Dick and Ann Sim …
In Chicago, EE RR’s uncle, John Suriano, died at 87. He was a sportsman, World War II Navy vet and decades-long Chicago contractor who still had projects going when he succumbed to a stroke. He raised five kids, much of the time as a single dad; son Donald is a Cook County Circuit Court judge. Uncle John loved a good joke and wore his emotions on his sleeve. A few months back he instructed a doctor to put a pacemaker on his left side so it wouldn’t interfere with his shooting shoulder. He never had a boss.
