Coming off a financially "disappointing" year, Ingalls executive vice president and chief operating officer Tom Block resigned last week to join a New York-based Internet company.
One of three principal owners (along with chairman and chief executive officer Bink Garrison and president Steve Connelly), Block will be cashed out, according to representative David Swaebe.
Ingalls has no immediate plan to appoint a new chief operating officer. Instead, Block's financial responsibilities have been turned over to Steve Doherty, a 14-year veteran promoted to senior vice president and chief financial officer.
"He's been my right-hand guy in terms of financials since I got here," Block said.
Block joined Ingalls more than six years ago and is largely credited with helping bring financial stability after a period of account and executive losses. Also, Block's decision to move the shop out of Boston's pricey Back Bay and into less expensive but more creatively charged workspace underscored the shop's commitment to raising its creative profile.
Even so, momentum has eluded the $141 million agency in recent years. Ingalls reported a 9.5 percent downturn in revenues to $17 million in 1998, following a 23 percent revenue boost in 1997.
"Financially I think we're healthier than when I joined in 1992," Block said. "We're in a much less distressed state now."
Block will join IllusionFusion in New York on April 12 as its first chief operating officer. The 2-year-old digital media company reported revenues of around $25 million last year, according to a representative. It employs a staff of 175 and operates six offices around the country.