Women’s apparel retailer Coldwater Creek has announced its chief executive Daniel Griesemer has resigned and that its brought back co-founder and chairman Dennis Pence as chief executive. Shares of the company fell as much as 8 percent Monday morning on Nasdaq but pared some losses and were down 3 percent at $7.11 later in the session, reported Reuters. Pence served as chief executive of Coldwater Creek from 1984 to 2000 and from 2002 to October 2007. “It seems they just weren’t really pleased with the speed of the recovery and I think the chairman now wants to be more involved with the business,” JP Morgan analyst Christopher Kim said. When asked if Pence was appointed to the role as he could do a better job of turning Coldwater — which sells apparel to women 35 years and older — around, Kim replied: “That’s essentially it.” Last month, Coldwater posted a second-quarter loss as increased promotions and occupancy costs ate into margins. Outgoing CEO Griesemer has also resigned from his position as director and president of the company, Coldwater said.
Coldwater Creek CEO Out, Chairman Steps In
Pence served as chief executive of Coldwater Creek from 1984 to 2000 and from 2002 to October 2007. “It seems they just weren’t really pleased with the speed of the recovery and I think the chairman now wants to be more involved with the business,” JP Morgan analyst Christopher Kim said.
September 15, 2009