Three Top Leadership Changes Triggered at Nordstrom Inc. Amid Turnaround

Nordstrom Inc., in the midst of a multi-year turnaround effort, has triggered a trio of top-level management changes.

Jamie Nordstrom has been appointed chief merchandising officer, filling a position that has been vacant for a few months since Teri Bariquit retired after 37 years at the company. Nordstrom previously served as the company’s chief stores officer, and is the cousin of Erik and Pete Nordstrom, respectively the chief executive officer and president/chief brand officer, who are brothers. Throughout his tenure, Jamie has held leadership positions across several areas of the business, including merchandising, store operations, Nordstrom.com and NordstromRack.com. He will continue to serve as a member of the company’s executive team and will report to Pete.

On the other executive changes, Pete commented, “We’re fortunate to have such exceptional leaders in Fanya and Gemma to help us continue to drive our Nordstrom and Nordstrom Rack businesses forward, and these changes leverage their tremendous talent. Fanya is a proven leader who has taken on numerous complex assignments throughout her Nordstrom career, including growing our digital selling and styling programs and overseeing Nordstrom and Nordstrom Rack stores in the Southwest region.”

Throughout her 35-year tenure with the company, Lionello has served in numerous executive positions, including general merchandise manager, and spent 11 years working within the retailer’s Nordstrom Rack business. She most recently worked as senior vice president and regional manager of the company’s Southwest region. She will join the company’s executive team and will report to Pete.

“Gemma understands the core of our Rack offering: how we deliver exceptional customer service while offering customers the very best products at a terrific price,” Erik said in a statement. “Her depth of experience leading teams within our stores and merchandising organizations will be critical as we build on the positive momentum we’ve seen in our Rack business and continue to execute on our strategy.”

The Seattle-based Nordstrom reported second-quarter net earnings of $137 million, or earnings per diluted share of $0.84, and earnings before interest and taxes of $192 million. Excluding the wind-down of Nordstrom’s Trunk Club men’s styling service, EBIT on the adjusted basis came to $210 million.

That compares to net earnings of $126 million, or EPS of $0.77, and EBIT of $202 million in the year-ago period.

Though sales continued to decline in this year’s second quarter, which ended July 29, the slippage wasn’t as steep as the first quarter. Net sales in Q2 decreased 8.3 percent compared to a decrease of 11.6 percent in the first quarter, reflecting sequential improvement in sales at both Nordstrom and Nordstrom Rack, the company indicated. It should be noted that Nordstrom’s second-quarter sales were negatively impacted by the wind-down of its stores in Canada and a change in the timing of the Nordstrom Anniversary Sale. Nordstrom calculated that excluding those two changes, sales would have been down only about 4 percent.

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