The Children's Place stock takes a dive after executive overhaul
Children's retailer The Children’s Place, Inc. has announced the exit of President of Global Product Pamela Wallack and Chief Financial Officer Anurup Pruthi. These roles will be taken over by existing company execs Jane Elfers and Mike Scarpa.
"As we approach the last phase of our major systems implementations, the opportunity exists for significant efficiencies across the organization, and today we are announcing a more streamlined senior leadership structure," said Jane Elfers, the company's president and CEO, in a release. "I will permanently reassume direct responsibility for product and Mike Scarpa will permanently reassume the CFO title, in addition to his current COO title."
Elfers began her work as chief executive officer and president of The Children's Place in 2010, with past executive experience as the president and chief executive officer of Lord & Taylor.
Meanwhile, Scarpa brings over 30 years of experience in the operational and financial sector to his new role, having served as executive vice president of The Children’s Place since 2012 and as its chief operating officer since 2013.
In its press release, the company said that Wallack and Pruthi "have left the business to pursue other opportunities."
Wallack began her role as the president of global product for Children's Place in 2017, and was the first to hold the position. Prior to her work at the company, she served as CEO of David's Bridal and president of Gap Kids & Baby, among other senior-level roles.
Pruthi has previously held the role of chief financial officer at the Mumbai-based Reliance Retail company, in addition to serving as CFO at Burberry and Liz Claiborne. He began acting as Children's Place CFO in 2014.
Since the announcement, the company's stock has taken a dramatic 13 percent dip from nearly 161.75 to 138.06 after a week-long high streak. Despite the sudden shift, the company anticipates a bounce-back.
“We delivered positive comp sales every month in Q3 resulting in a positive high single digit comp for the quarter," Elfers said. "In light of our strong performance, we are reaffirming our Q3 EPS guidance. Importantly, our inventory is in great shape as we enter Q4.”
Currently, The Children’s Place operates 992 stores throughout the United States, Canada and Puerto Rico, as well as online, and in 211 international points of distribution operated by its eight franchise partners in 20 countries.
Copyright © 2022 FashionNetwork.com All rights reserved.