Molina Healthcare Inc. shares surged 15.5% at $58.61 Tuesday afternoon after the company's Board of Directors ousted Chief Executive Officer Mario Molina and Chief Financial Officer John Molina, citing the company's "disappointing financial performance." The board appointed Chief Accounting Officer Joseph White, who has served in the position since 2003, as CFO and interim CEO. Mario and John Molina are the two sons of the company's founder, C. David Molina, and will continue to serve on the board. Molina also said it plans to report after the bell first-quarter earnings per share of $1.37, which includes a break-up fee of 84 cents per share, and compares to the FactSet consensus of 58 cents. "With the industry in dynamic transition, the Board believes that now is the right time to bring in new leadership to capitalize on Molina's strong franchise and the opportunities we see for sustained growth," said Board of Directors Chairman Dale Wolf. Molina shares have surged 3.0% over the last three months, compared a 4.8% rise in the S&P 500 .
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