CIBC CEO Gerry McCaughey to retire in 2 years

Gerry McCaughey plans to retire as CEO of Canadian Imperial Bank of Commerce in April 2016.
CIBC CEO Gerald McCaughey is to retire in April 2016. (Patrick Doyle/Canadian Press)

Gerry McCaughey plans to retire as CEO of Canadian Imperial Bank of Commerce in April 2016.

McCaughey's retirement plan was announced shortly before the beginning of CIBC's annual meeting, which is being held this year in Montreal.

McCaughey, who was named CEO in 2005, will leave the bank April 30, 2015, the day of its annual general meeting.

A successor has not been named, but a bank statement says the board has a succession process under way.

His move is part of a changing of the guard at Canada's biggest banks. The CEOs of Royal Bank of Canada, Toronto-Dominion Bank and Bank of Nova Scotia all have announced plans to retire in the past 18 months,

CIBC’s chief operating office, Richard Nesbitt, also plans to retire in 2015.

McCaughey is credited with guiding CIBC through the financial crisis when the bank took a large charge from investments in U.S. subprime mortgages

Recently, McCaughey helped CIBC navigate through a potentially difficult situation with the bank's Aeroplan credit card business — a long-standing and historically profitable relationship with Air Canada's loyalty points system.

Since then CIBC has strengthened its balance sheet and business mix and focused on strengthening risk management, McCaughey said.