Life Goes On
Robert Nardelli’s appointment as the new CEO of the Chrysler Corp. in August got us to thinking about the comings and goings of high-profile retail executives. Nardelli, 59, is the former chairman, president and CEO of The Home Depot.
Here’s an update on the fortunes (and misfortunes) of some of retail’s most influential leaders:
Vanessa Castagna, 57, abruptly left her post as executive chairwoman of the board of Mervyns in February 2007. Since leaving Mervyns, Castagna has kept a low profile. Her plans reportedly include joining the boards of retail and apparel companies, and nonprofits;
Tom Coughlin, 58, former vice chairman of Wal-Mart Stores, was sentenced in 2006 to 27 months of home detention after pleading guilty to stealing money, merchandise and gift cards from Wal-Mart. He was ordered to serve five years’ probation, and pay a $50,000 fine and about $411,000 in restitution to Wal-Mart and the IRS;
Mickey Drexler, 62, former president and CEO of Gap Inc. was shown the door by the company in 2002. But Drexler ended up having the last laugh, transforming the once-troubled J. Crew, which he joined in 2003 as CEO, into one of retail’s hottest fashion chains;
James W. Keyes, 52, former president and CEO of 7-Eleven, was appointed chairman and CEO of Block-buster, Inc., in July 2007, replacing chairman and CEO John F. Antioco;
Alan Lacy, 54, former vice-chairman and CEO of Sears Holdings Corp., joined New York City-based private-equity firm Oak Hill Capital Partners in July 2007, as a senior advisor;
Edward Mueller, 60, CEO of Williams-Sonoma Inc. from 2003 to 2006, recently was named chairman of Qwest Communications. It’s a homecoming of sorts for Mueller, a telecommunications veteran whose resume includes a stint as president and CEO of Ameritech;
Paul Pressler, 50, former CEO of Gap Inc., was dumped by the ailing retail chain in January 2007 with a $14 million severance package. He currently serves on the board of directors for Avon Products; and
Richard Thalheimer, 59, founder of Sharper Image, was ousted as CEO by the company in September 2006. His new business, RichardSolo.com, is devoted to a category Thalheimer knows well: interesting gifts and gadgets.
Sears Holdings ceo unhappy with 2Q
HOFFMAN ESTATES, Ill. Sears Holdings today reported net income of $176 million, or $1.17 per diluted share, for the second quarter ended Aug. 4, compared with net income of $294 million, or $1.88 per diluted share, for the second quarter ended July 29, 2006. The company attributed the decline in its second quarter results from the same quarter last year to lower operating results at both Sears Domestic and Kmart, which were partially offset by improved operating results at Sears Canada.
“We are disappointed with our second quarter results. Our gross margins came under pressure from sales declines and increased promotional activity, and as a result, our net income was significantly below last year and our expectations,” said Aylwin Lewis, Sears Holdings’ ceo and president.
Sears Domestic’s comparable-store sales declined 4.3% for the quarter, while Kmart’s comparable-store sales declined 3.8%. Total domestic comparable-store sales declined 4.1%. The company reported lower sales across most merchandise categories at both Kmart and Sears Domestic, partially offset by increased sales of women’s apparel at both Kmart and Sears Domestic, as well as within consumer electronics and footwear at Sears Domestic. For the quarter, total revenues declined $0.6 billion to $12.2 billion in fiscal 2007, as compared to $12.8 billion for the second quarter of fiscal 2006.
Lane Bryant pres. joins Christopher & Banks
MINNEAPOLIS Former Lane Bryant president Lorna Nagler will join Christopher & Banks as president and ceo effective Aug. 31. She will replace Matthew Dillon, who resigned from his position as president and ceo and as a member of the board of directors today. Nagler has also been elected as a member of Christopher & Banks’ board of directors effective Aug. 31.
Nagler most recently served as president of Lane Bryant, a division of Charming Shoppes. Before joining Charming Shoppes in April, 2002, Nagler served as a senior vp and general merchandising manager for apparel and jewelry at Kmart Corp.