First Republic Bank’s Board of Directors announced leadership transitions effective Jan. 1, 2022.

Founder, Chairman and Co-CEO Jim Herbert will take a medical leave of absence from his executive position in response to a recent medical recommendation regarding a coronary health issue. This leave is in accordance with First Republic Bank policies and will begin on Jan. 1, 2022, for a period currently expected to be six months. Herbert will also step down from the Board of Directors during this time and is expected to be reappointed to the Board upon his return.

“Jim is now the third-longest serving CEO in the S&P 500,” said Reynold Levy, Lead Independent Director. “He has built a unique culture, consistent profitability and incredible value for our clients, colleagues and shareholders since founding First Republic over 36 years ago. The Board fully supports Jim’s decision to step away from the stress of day-to-day operations to focus on his health.”

Hafize Gaye Erkan will continue to serve as Co-CEO, as well as assume additional responsibilities. Erkan has been part of the executive management team since joining First Republic in 2014. She was appointed President in 2017, Board Member in 2019 and Co-CEO in 2021. Previously, she worked at Goldman Sachs, as Managing Director and Head of Financial Institutions Group Strats and has over 20 years of finance and banking experience.

“I am extremely proud of the caring, sincere and client-focused culture of First Republic,” said Herbert. “As a longstanding shareholder, I have full confidence in Gaye alongside our terrific management team, the continued consistency and stability of our business model and, very importantly, the exceptional colleagues who put our culture and our clients first each day.”

The Board of Directors has appointed Mike Roffler as President, effective Jan. 1, 2022. Roffler joined the company in 2009 and has served as its Chief Financial Officer since 2015, with over 25 years of accounting and banking experience, including as a partner at KPMG. He will also continue to serve in the role of CFO for an interim period.

“We are delighted to promote Mike to the position of President,” said George Parker, Board Member. “Mike has been an instrumental cultural and strategic leader at First Republic for over a decade. He is well regarded by shareholders, clients and colleagues, and is a key member of our executive team.”

Beginning Jan. 1, 2022, Parker will serve as Acting Chairman of the Board. Parker has served as a Board Member of First Republic since 2003. He is a Professor Emeritus at Stanford Graduate School of Business, where he taught finance and banking for over 30 years. With extensive board and chair experience, Parker previously served on the Boards for Continental Airlines and Threshold Pharmaceuticals, Inc., among others.