Randall Stephenson, longtime PGA Tour Policy Board member, resigns over bombastic LIV-Golf alliance, claims deal with Saudi Arabia is ‘not one I can in good conscience support’
According to a report, Randall Stephenson has resigned from the PGA Tour board of directors over concerns about the tour’s proposed partnership with the Public Investment Fund of Saudi Arabia.
The PGA Tour made a shocking about-face in its stance on LIV Golf last month, announcing that it would unite itself, the Rebel Series and the DP World Tour under one roof, and sending the framework for their proposed merger to the US Senate.
However, that framework and the tour’s deal with the National Fund of Saudi Arabia apparently led to Stephenson’s resignation from the political body.
Stephenson, who retired as AT&T chairman and CEO in June 2020, sent a letter announcing his decision to step down, according to The Washington Post.
The Post said it had received a copy of his letter, which was dated Saturday, and said the tour’s framework agreement with the Saudi Arabian Public Investment Fund “is not a thing that I can judge objectively or support in good conscience, especially given the of the relevant US intelligence report.” “Jamal Khashoggi in 2018.”
Randall Stephenson has resigned from the PGA Tour board of directors over the LIV Golf merger
The PGA Tour took a shocking turn when it announced a deal with Saudi Arabia’s PIF last month
Khashoggi, a Washington Post columnist and critic of Saudi Crown Prince Mohammed bin Salman, was assassinated in 2018 inside the Saudi consulate in Istanbul. US intelligence concluded that the Crown Prince likely authorized the killing, which the Crown Prince denies.
The PGA Tour confirmed the resignation in a memo to its members, citing Stephenson’s “exemplary service” of more than 12 years.
PGA Tour Commissioner Jay Monahan stunned every corner of the golfing world – including his own membership – when on June 6 he announced a partnership with the PIF, which had paid for rival league LIV Golf and was part of an antitrust lawsuit.
The agreement, which is subject to approval by the PGA Tour Board of Directors and reviewed by the Justice Department, would create a for-profit entity in which the PIF, PGA Tour and European Tour would pool their commercial business and media rights.
Monahan would be CEO and Yasir Al-Rumayyan, the PIF governor, would be chairman of the new company. Al-Rumayyan would also have a seat on the PGA Tour board of directors, although the PGA had pledged in the preliminary deal that it would always have a majority decision.
Stephenson said he wanted to resign on June 12, but then Monahan resigned over health issues. Monahan announced Friday that he would be returning to work on July 17.
“I joined this board 12 years ago to serve the best players in the world and to expand the sporting virtues instilled through the game of golf,” Stephenson said in his letter. “I hope that as we move forward, this board will comprehensively review its governance model and keep options open to explore alternative sources of capital beyond the current framework.”
The PGA Tour’s 10-member Board of Directors consists of five players and five independent directors. Two of them are CEO Ed Herlihy and Jimmy Dunne, who along with Monahan spent seven weeks negotiating the deal with Al-Rumayyan.
Yasir Al-Rumayyan, the PIF governor, would be chairman of the new company
The others are investment manager Mark Flaherty, a Goldman Sachs board member, and Mary Meeker, a venture capitalist.
The resignation comes three days before Dunne and Ron Price, the tour’s COO, are scheduled to testify before a congressional subcommittee seeking more details on the partnership between the PGA Tour and the Saudi wealth fund.
Under the tour’s charter, the four independent directors must decide who replaces Stephenson after consultation with the five players on the board and John Lindert, the president of the PGA of America, who is a non-voting board member.
There is no time frame to fill the position.