RETIRED HOME DEPOT CEO AND CHAIRMAN JOINS P&G BOARD OF DIRECTORS

Francis Blake, 65, joins the Proctor & Gamble Co. board of directors, effective immediately. This announcement comes just a few days after his retirement as chairman of Home Depot. He stepped down from the CEO position in November.

Blake’s extensive retail experience joins Macy’s Inc. CEO Terry Lundgren on the board.

Prior to Home Depot, Blake was general counsel for the US Environmental Protection Agency and deputy counsel to Vice President George H.W. Bush.

"Frank is one of the most respected business leaders in America today. His vision, strategy and focus on execution led Home Depot to strong and sustained business growth," said P&G CEO A.G. Lafley said. "We will deeply benefit from his management expertise and retail experience."

Blake also serves on the board of directors of Delta Airlines and the Georgia Aquarium.

Resource: Retailing Today

JCP Picks A President And Eventual CEO

October 13, 2014

Home Depot EVP Marvin Ellison will become president of J.C. Penney on November 1 and succeed Mike Ullman as CEO of the department store retailer next August.

Ellison, 49, is an interesting choice for a retailer focused on apparel and accessories given his extensive background in operations as opposed to merchandising.  He spent the past 12 years at Home Depot and most recently served as EVP of stores since 2008.  Prior to his current role he served as president of Home Depot's northern division and also held the role of SVP of global logistics.  Before Home Depot, Ellison spent 15 years in a variety of operational roles at Target including corporate director of asset protection.  Ellison serves on the board of FedEx and earned a business administration degree in marketing from the University of Memphis and an MBA from Emory University.

Plans call for Ellison to replace Ullman as CEO on August 1, 2015 at which time Ullman will become executive chairman of the board for a one year period.

"The Board has completed its search for the right CEO to lead the next stage of J.C. Penney's growth.  We are delighted to have found that person in Marvin Ellison, a highly accomplished retail executive with a history of delivering top and bottom line results at major American retailers," said J.C. Penney chairman Thomas Engibous.  "He brings to the role, among other assets, an extensive knowledge of store operations and supply chain management as well as a demonstrated ability to successfully run large retail organizations.  In light of these attributes, we believe he is well equipped to return the company to profitable growth."

Engibous also spoke highly of Ullman's contributions, noting that he agreed to return to the company during the most difficult period in its history.  Ullman is credited with stabilizing the business and improving performance after the company attempted an ill-fated transformation under the leadership of prior CEO Ron Johnson.

"(Marvin Ellison's) experience and leadership are exactly what we need to accelerate the progress we have made over the last 18 months," Ullman said.  I look forward to working closely with him and the rest of our outstanding team in the coming months to ensure a smooth transition and a successful future for J.C. Penney."

Ellison added, "as president and, ultimately, CEO, I will be focused on positioning the company to compete in a rapidly changing retail environment for the benefit of our customers, shareholders, suppliers and associates.  I am confident that we have the customer proposition, the brand, and the talent to make J.C. Penney successful over the long term."

Source: Retailing Today

The Home Depot Appoints New CEO

August 21, 2014

The Home Depot has named Craig Menear, currently president, U.S. retail, as CEO and president, effective November 1, and has elected him to the company's board of directors, effective immediately.  Current chairman and CEO Frank Blake will remain chairman.

Menear, who was named president, U.S. retail in February of this year, is a 34-year-retail veteran and a key leader in the company's success.  In addition to his role as chief merchant, Menear has overseen the company's supply chain efforts, its rapidly growing online and private brand businesses and the company's marketing and global sourcing.

Prior to joining the company in 1997, Menear held various merchandising positions within the retail industry with companies such as Ikea, Builders Emporium, Grace Home Centers and Montgomery Ward, as well as operating an independent retail business.  He earned a bachelor of arts degree from Michigan State University's Eli Broad College of Business.

"Craig has taken on increasing leadership responsibility over the last several years and has excelled in all his roles," said Blake.  "As a long-time Home Depot veteran, Craig lives our values and embodies our culture.  He'll do an outstanding job leading our company in the years ahead."

Blake has been chairman and CEO of The Home Depot since 2007.

"On behalf of the board, I want to thank Frank for the job he has done over the last seven years," said Greg Brenneman, the board's lead director.  "Among his many accomplishments, Frank had built a world-class leadership team.  We are fortunate to have a leader of Craig's capabilities as our new CEO."

In fiscal 2013, the company had sales of $78.8 billion and earnings of $5.4 billion.

Source: Retailing Today

Greg Foran New CEO At Walmart U.S. As Bill Simon Departs

July 24, 2014

Walmart named Greg Foran president and CEO of its U.S. stores division to replace Bill Simon, who is leaving the company after an eight-year run.

Foran is a relative newcomer at Walmart, who joined the company in October 2011 and by March of 2012 had been elevated to the role of president and CEO of Walmart China.  In that capacity, he reported to current Wal-Mart Stores president and CEO Doug McMillon, who at the time served as president and CEO of Walmart International.  McMillon assumed his new role earlier this year prompting speculation that Simon would leave the company if he were passed over for the top job.

"Greg is one of the most talented retailers I've ever met.  His depth of knowledge and global experience will bring a fresh perspective to our business," said McMillon.  "His passion for fresh food, experience in general merchandise and commitment to e-commerce will help us serve our customers even more effectively for years to come."

Although he only briefly oversaw Walmart's China operations, the team made significant progress with its assortment, pricing, store operations and compliance as Foran led strategic investments in the supply chain and improved the store portfolio, according to a Walmart statement.  Foran was elevated to the role of president and CEO of Walmart Asia earlier this year to oversee the retailers business in Japan and India as well as China. 

McMillon spoke highly of Simon who will transition out of the company in the next six months.

"During Bill's eight years of service to Walmart, his passion for our mission, dedication to our associates and our customers, and innovative thinking pushed us forward," McMillon said.  "From the very beginning, his vision led us to lower the cost of health care through our $4 prescription offering.  And, most recently, he put us on a path to future growth with small formats and efforts that integrate digital and physical retail."

Foran will assume his new responsibilities on August 9.  Prior to joining Walmart three years ago, Foran held a number of roles with Woolworths, the leading retailer in Australia and New Zealand.  He served as the managing director of supermarkets, liquor and petrol with responsibility for more than $40 billion in sales at that time.  Under Foran's leadership, the business grew sales and market share in a strong competitive market.  Earlier in his career, Foran served as general manager of Big W, Woolworth's industry leading discount store business and as general manager of Dick Smith Electronics.

"I've worked closely with Greg for the past few years and I've seen firsthand his passion for retail.  I'm confident that Greg's strong leadership skills and alignment with our culture will serve our customers and associates well," McMillon said.  "I'm excited what he will bring to this important part of our business."

"Being asked to lead the Walmart U.S. business is a privilege that I don't take lightly," said Foran.  "I am excited to get started.  The needs of our customers are changing dramatically and we have an enormous opportunity to serve them in new and different ways.  We must be fierce advocates for our customers, work meticulously to exceed their expectations and earn their trust every day."

Simon said it had been an honor to work for Walmart for the past eight years, adding, "this felt like the right time to move on and focus on my next opportunity.  I look forward to helping the company as much as I can in the next six months."

Walmart said it would name Foran's successor as president and CEO of Walmart Asia at a later date.

Source: Retailing Today

Winter Fails To Freeze Earnings At Lowe's In First Quarter

May 21, 2014

Bad weather for retail dampened sales at Lowe's, but earnings surged well into the double digits for the first quarter, the company announced Wednesday morning.

Lowe's sales increased 2.4% in the first quarter, rising to $13.4 billion.  Comparable-store sales increased 0.9%.

The Mooresville, North Carolina-based retail giant reported a net earnings surge of 15.6% to $624 million for the quarter ended May 2.

Lowe's quarterly earnings report followed by one day the report from Home Depot, which outperformed Lowe's in terms of sales.  Lowe's showed the higher percentage gain in net earnings - 15.6%, compared with Depot's 12.5%.

Both retail giants pointed to the challenges of operating through a season hampered by a late start to spring.

"We executed well during the quarter, despite an unexpectedly prolonged winter in many areas of the country," commented Robert A. Niblock, Lowe's chairman, president and CEO.  "While poor weather dampened traffic and negatively impacted performance of exterior categories, results for indoor categories were solid.  We effectively aligned inventory, staffing and marketing resources by climatic zone to best serve customers' needs."

As of May 2, 2014, Lowe's operated 1,836 home improvement and hardware stores in the United States, Canada and Mexico, representing 200.7 million sq. ft. of retail selling space.

For the full fiscal year, Lowe's said total sales are expected to increase approximately 5%, while comp-store sales are expected to increase about 4%.

Early second-quarter performance suggests Lowe's is on the right path, Niblock said.

"Performance has improved in May, which - together with our strengthening execution - gives us the confidence to reaffirm our sales and operating profit outlook for the year," he said.

In other news, Lowe's has a new SVP in Michael Tummillo, who is taking over the Building and Maintenance division as SVP and general merchandising manager.  He replaces Michael McDermott, who will now serve as CMO and direct supervisor to Tummillo.

"Mike has a deep understanding of the business and the challenges our professional and DIY customers face every day," said McDermott.  "During his time at Lowe's, Mike has demonstrated the kind of strategic thinking and leadership across functions which will position him for success as he takes on responsibility for the broader building and maintenance merchandising team.  I have great confidence that Mike will deliver our strategic goals in this important segment of the business."

Tummillo was most recently serving as merchandising VP, rough plumbing and electrical.  He joined Lowe's in 2004 as VP credit services, soon after acquiring additional responsibilities in credit, project and event sales.  His resume also includes stints at GE card services and GE financial assurance.

Source: Retailing Today 

Bon-Ton Seeks New CEO

March 11, 2014

Following disappointing fourth-quarter sales, the Bon-Ton Stores president and CEO Brendan L. Hoffman has notified the company's board of directors that he will not renew his employment agreement with the company when it expires February 7, 2015.  Hoffman also plans to resign as a director of the company.

"I am extremely proud of the Bon-Ton team and what we have accomplished since I joined in 2012.  I truly enjoyed working for the company these past two years.  However, I have made the difficult decision to end my tenure with the company for strictly personal reasons.  I remain committed to continuing to execute the strategic initiatives we put forward as the company searches for a new chief executive officer," said Hoffman.

The board of directors will undertake a national search to find a CEO to succeed Hoffman.

Comparable-store sales for the fourth quarter decreased 7.3%.  The company reported net income for the quarter of $61.3 million, or $3.04 per diluted share, compared with net income of $74.4 million, or $3.71 per diluted share, for the prior-year quarter.

Hoffman was optimistic and said that despite the disappointing results the company is making progress on several strategic initiatives that he believes will drive improved performance.  Multiple snowstorms and the polar vortex during the December and January periods resulted in a sharp decline in traffic and ultimately hurt comparable-store sales in the quarter.

"In spite of these top line pressures, we were able to achieve a gross margin rate slightly better than prior year and reduce expenses," Hoffman said.  "In addition, we effectively managed our inventory such that we ended the year with inventory levels approximately 5% below that of the prior year, including a significant reduction in carryover merchandise, leaving us well positioned for the spring season."

Hoffman was equally optimistic about the company's burgeoning e-commerce business.

"We are excited about our new e-commerce fulfillment center, which will permit significant expansion of our shipping capacity with improved operational efficiency.  We will continue strengthening our foundation to deliver profitable sales growth in the coming years," he added.

Looking ahead, the company expects comparable store sales to increase in a range of 1% to 3%.

Source: Retailing Today

Lowe's Appoints Chief Customer Officer

March 4, 2014

Lowe's has named Michael A. Jones as the company's chief customer officer, effective April 30.  Jones currently serves as Lowe's chief merchandising officer, overseeing the full merchandise offering for all Lowe's U.S. stores and Lowes.com, as well as all global sourcing activities.

Jones will succeed Gregory M. Bridgeford, who plans to retire after 32 years with the company. In his new role, Jones will be responsible for overseeing customer experience design, merchandising, marketing and communications and digital interfaces.

"I am confident that Mike is the right person to succeed Greg as chief customer officer.  During the past 14 months, Mike and Greg have worked closely together and have made terrific progress in further elevating and enhancing the Lowe's customer experience," said chairman, president and CEO Robert A. Niblock.  "In assuming this new role, Mike brings extensive leadership experience, expertise in key product categories relevant to the home improvement business, understanding of the need for vendor collaboration, and a clear focus on the customer.  We look forward to his further contributions to Lowe's."

Jones joined Lowe's in January 2013 with more than a decade of executive leadership experience in sales, service, product management and international business, serving with Husqvarna as president and EVP for North and Latin America from 2009 until joining the company in 2013.  Before his role at Husqvarna, Jones spent 15 years at General Electric, where his most recent role was general manager of global cooking products from 2007 to 2009.  Jones received a bachelor's degree in business administration from California Coast University in Santa Ana, California.

"At the same time, Lowe's thanks Greg for his extraordinary dedicaton to the company throughout the past three decades," added Niblock.  "As Lowe's has grown from a regional hardware chain in the 1980s to the nation's second-largest home improvement company today, Greg has been a valued member of our organization.  Two years ago, I asked Greg to delay his retirement plans and assume the role of chief customer officer to lead our efforts as we became a more customer-focused enterprise.  Greg has built a world-class team that is executing on our strategy, so that the timing is now right for Greg to pass the baton to Mike.  We wish greg all the best in his retirement."

Bridgeford was promoted to chief customer officer in 2012, after serving as EVP of business development since 2004.  Bridgeford joined Lowe's in 1982 as executive assistant to the chairman, and has served in a variety of increasingly responsible positions, including VP of corporate development, SVP of merchandising/general merchandising manager, SVP of marketing, and SVP of business improvement, and real estate, engineering and construction.  Bridgeford has a bachelor's degree in psychology from the University of Virginia and earned an MBA from Wake Forest University.

Source: Retailing Today

The Home Depot Makes Changes To Executive Team

February 28, 2014

The Home Depot has promoted Craig Menear to president, U.S. retail.  Menear was previously EVP, merchandising, responsible for all merchandising departments and merchandising services and strategy; the company's supply chain network; global sourcing; vendor management; marketing; and online sales.

In his new role, Menear will add responsibility for all U.S. store operations, with Marvin Ellison, EVP, U.S. stores, reporting to Menear.

The company also announced that Mark Holifield, SVP, supply chain, has been elevated to EVP, supply chain and product development, with responsibility for sourcing and proprietary brands.  Holifiled will continue reporting to Menear.

"Craig is a world-class retailer and has done a terrific job in recent years leading some of the most important and successful initiatives in our company," said chairman and CEO Frank Blake.  "And Mark has successfully led one of the most extensive supply chain transformations in retail history.  Both are very deserving of their new leadership roles, and I look forward to their continuing contributions to our business."

Menear, a 34 year retail veteran, joined the Home Depot in 1997 as a merchandising manager in the company's Southwest Division, and steadily rose through the company's merchandising ranks to his current position.  Prior to joining the company, Menear held various merchandising positions at other retailers including Ikea, Builders Emporium, Grace Home Centers and Montgomery Ward, as well as operating an independent retail business.

Holifield has more than 30 years of experience in supply chain management.  He joined the Home Depot in 2006 to design and implement a complete transformation of the company's supply chain and logistics infrastructure, resulting in steadily improving inventory turns and in-stock levels.  Prior to the Home Depot, Holifield spent 12 years at Office Depot in supply chain roles of increasing responsibility, and earlier in his career, held supply chain roles at Frito-Lay and H.E. Butt Grocery.

Source: Retailing Today

Ross Has A New Financial Chief

January 28, 2014

Ross Stores has promoted Michael Hartshorn to CFO, retaining his SVP title, effective February 2.  Hartshorn will be responsible for the accounting, treasury, financial planning, tax, risk management and investor relations functions.  As CFO, he will continue to report to John Call, group SVP finance and legal, and corporate secretary.

"Michael is a very talented executive with 24 years of broad-based financial experience.  He joined our company 14 years ago and has held various management positions in our finance, IT and supply chain organizations, most recently as SVP and deputy CFO," said vice chairman and CEO Michael Balmuth.  "His strong management skills, financial expertise and in-depth knowledge of our business will be valuable assets in his new role.  Michael will continue to work closely with John Call, who has been our CFO for the past 16 years and who will continue in his senior leadership role, overseeing our finance and legal functions.  Our company will continue to benefit from the proven leadership and financial expertise of these two exceptional executives."

Hartshorn has been SVP and deputy CFO of Ross Stores since January 2012.  Prior to this, he was group VP, finance and treasurer from March 2011 to January 2012 and VP, finance and treasurer from April 2006 to March 2011.  From 2002 to 2006, he served in various management roles in the Ross IT and supply chain organizations, focusing on network strategy and operating initiatives.  He initially joined the company in 2000 as director and assistant controller.

Hartshorn began his career at the public accounting firm of Cooprs & Lybrand where he spent three years in their audit practice, followed by seven years in various financial roles at the May Department Stores Company.  He has a bachelor of science in accountancy from the University of Missouri.

Source: Retailing Today

Doody And Goodman In New Reinvention Roles At Staples

January 30, 2014

Two of Staples' senior most executives were given new responsibilities to bolster the company's re-invention efforts and competitive posture in a market that has become more challenging with the addition of a newly merged Office Depot and Office Max.

Staples elevated Joe Doody to the role of vice chairman from his prior position as president of the company's North American commercial division.  Filling Doody's role is Staples executive Shira Goodman who previously served as EVP of global growth.  Both will continue to report to long time Staples chairman and CEO Ron Sargent.

"Joe (Doody) has done a tremendous job leading our commercial businesses through a time of enormous change and growth.  His proven success and deep experience will be crucial to our reinvention as we continue to expand into new categories and build on our e-commerce and delivery capabilities to provide every product businesses need to succeed," Sargent said.  "Shira (Goodman) is an outstanding leader with unmatched experience across our company.  Her experience with our reinvention will be a huge asset as we continue to drive growth in our North American Commercial business by expanding into new categories, such as facilities and breakroom, technology, print, furniture and promotional products."

In his new role, Doody will lead Staples' strategic reinvention with responsibility for strategic planning and business development as well as the company's operations in Australia, New Zealand and high-growth markets.  Doody joined Staples in 1998 as president of what was known at the time as Staples Contract and Commercial.  He held that role until 2002 when he was named president of Staples North American Delivery.  He was named president of North American Commercial in 2013.

Goodman joined Staples in 1992 and prior to her recent role as EVP of global growth she served as EVP of human resources and EVP of marketing from 2001 to 2009.  Prior to 2001, Goodman served as SVP of StaplesDirect.com, the company's e-commerce and catalog operation.

The appointment of Doody and Goodman to new roles follows several other significant developments at Staples which are part of the company's reinvention efforts.  In early January, Staples unveiled a new branding campaign with the tagline, "make more happen," which replaced its long-running, "that was easy," tagline.  The company also made a subtle change to its logo.

The new campaign is designed to showcase Staples' expanded assortment, thus the "make more happen," positioning, whereas with "that was easy," the emphasisi tended to be on how Staples simplified customers lives.

"We're adding thousands of new products every day.  Our expanded product assortment appeals to businesses across a wide range of industries, from medical and restaurants to professional services and retail," Goodman said when the campaign launched.

Other recent reinvention moves are focused on the company's intellectual capacity.  For example, last fall Staples named Tom Conophy as its Chief information officer to oversee all aspects of the company's global IT organization.

"Tom (Conophy) is a creative and innovative leader, and his skills complement the talents of our IT leadership team as we build the systems and processes to support our strategic reinvention," CEO Sargent said at the time.

One of the biggest commitments the company made to stay on the leading edge of technology related to the creation last September of a new e-commerce development center in Seattle.  The move was designed to help the company attract top talent in the areas of engineering, product management, usability, analytics and online merchandising.

Staples is changing the way customers shop online," said Faisal Masud, Staples EVP of global e-commerce.  "Seattle is an innovation hub rivaling Silicon Valley and features some of the world's biggest technology companies.  Staples new Development Center will allow us to tap into the wide range of talented engineering and e-commerce professionals on the West Coast."

Source: Retailing Today

Hudson's Bay CFO Takes Leave of Absence

January 22, 2014

Hudson's Bay Company's CFO Michael Culhane is reportedly taking a leave of absence from the company.  Assuming the CFO role will be Donald Watros, who on February 1 will be stepping into his new role as president of the company.

HBC did not provide further details on Culhane or the CFO position.

Culhane has been CFO of Hudson's Bay Comapny since February 2009.  He is responsible for financial planning, profit improvement, accounting, treasury, income taxes, audit, legal and credit/loyalty marketing.  He also served as CFO and EVP of Lord & Taylor from 2004 to 2009 and held other executive financial positions with the May Department Stores Comapny from 1997 to 2004.

The company has been restructuring its leadership so it can focus on managing and growing HBC's presence in North America, as well as its expanding portfolio of brands.

Source: Retailing Today

Bloom Out At Family Dollar, Reiser Named CMO

January 9, 2014

The search is on for a new president and COO at Family Dollar following the resignation of Michael Bloom amid deteriorating financial results and a 3% same store sales decline in December.

Bloom, who recently donned a disguise to appear in an episode of the CBS show "Undercover Boss," spent two years as Family Dollar's president and COO and joined the company from CVS.  In conjunction with his departure, Family Dollar elevated Jason Reiser to the role of EVP and Chief Merchandising Officer and he will report directly to Family Dollar chairman and CEO Howard Levine.  Reiser joined Family Dollar in July 2013 as SVP of merchandising after a 17 year career with Sam's Club and by October of last year he had already been promoted to the role of SVP/Lead Merchandising Officer.

The senior leadership moves were announced in conjunction with dismal sales results for the company's first quarter ended November 30 and a 3% decline in December same store sales, which prompted the company to forecast further top line weakness and lower its profit forecast.  Family Dollar said sales for its first quarter, ended November 30, increased a meager 3.2% to $2.5 billion, due to the addition of new stores.  Same store sales declined 2.8% as fewer people shopped its stores and those who did spent less money.

Reversing those trends now falls to new head merchant Reiser who will have responsibility for the company's merchandising, global sourcing, marketing, replenishment and financial planning teams.

"Continuing to refine our assortment to meet the needs of our customer is critical to being a compelling place to shop," said Levine.  "Jason's proven leadership, merchandising experience and deep understanding of our customer position him well to ensure that we grow both customer trips and market share."

Improvement is not expected to be immediate, however, as Levine noted a challenged consumer and intensified promotional environment continue to affect the company's business.  That was the case in December when Levine said the company was forced to react to softness in discretionary categories by becoming more promotional.

"Reflecting our December results, our expectations that the macroeconomic trends will continue, and the impact of investments we plan to make to strenghten our value proposition, we have lowered our earnings expectations for the second quarter of fiscal 2014 and the full year," Levine said.  "While we have made meaningful progress to improve our execution, our financial performance has not met our expectations.  We have a great business model and ample growth opportunity, and I know we can do better."

The immediate focus for Family Dollar, according to Levine, is to execute the basics of reatil; re-accelerate customer traffic, strengthen the value proposition and enhance the relevancy of its assortment.

"We also intend to maintain our focus on reducing costs while also selectively investing in new stores, our renovation program and supply chain improvements to position our long-term growth," Levine said.

Source: Retailing Today

November & December Executive Moves

Home Depot: reported Frank Blake, currently VP of Business Development, was named to Vice Chairman.
Circuit City reported Michael Jones resigned as CIO.  William McCorey was named as his replacement.
Abercrombie & Fitch said Thomas Mendenhall resigned as General Manager.
Family Dollar appointed Michael Laurenti to VP Information Technology.
J.C. Penney Co. named Thomas Nealon to VP and CIO.
Gottschalks, Inc. named Robinsons-May as VP Finance and CAO.