Tags: stefan larsson | ralph lauren | ceo

Stefan Larsson, Ralph Lauren CEO, to Step Down; Stock Slides

Image: Stefan Larsson, Ralph Lauren CEO, to Step Down; Stock Slides

Sesigner Ralph Lauren, right, poses in his office with Stefan Larsson in New York on Sept. 29, 2015. (AP Photo/Jason DeCrow)

By    |   Thursday, 02 Feb 2017 04:34 PM

Less than two years after Stefan Larsson took over as CEO of Ralph Lauren, he is leaving the company over creative control differences.

Larsson became CEO in November 2015 and was widely seen as a force for needed updates to the company. Larsson had helped Old Navy through a similar process prior to coming to Ralph Lauren and had a top reputation as a “fixer” who could help Ralph Lauren move forward successfully and revive flagging sales, The Wall Street Journal said.

In fact, Larsson did make changes quickly, cutting staff and closing some stores as well as streamlining the number of clothing items available in some collections. Although the brand’s revenues have continued to drop, the decline has slowed and is expected to reverse after the next fiscal year, The Washington Post reported.

Lauren has said he is committed to Larsson’s business plan, but balked at giving him creative control to hire and fire creative talent, The Wall Street Journal said. At 77, Lauren is the brand’s biggest shareholder and serves as chairman of the board and chief creative officer.

The board apparently supported Lauren in the disagreements, which led to Larsson stepping down. He'll stay with the company till May to help aid the transition, the Post said.

Stock in the company tumbled 11 percent on the news, reflecting dismay that Larsson and Lauren couldn’t work things out together. Citi analyst Kate McShane worried that Larsson was “one of the best players in the industry” and that executives he recruited would follow him out the door, the WSJ reported.

Larsson’s severance agreement could give him up to $26 million depending on company performance.

© 2017 Newsmax. All rights reserved.

 
1Like our page
2Share
TheWire
Less than two years after Stefan Larsson took over as CEO of Ralph Lauren, he is leaving the company over creative control differences.
stefan larsson, ralph lauren, ceo
276
2017-34-02
Thursday, 02 Feb 2017 04:34 PM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
America's News Page
© Newsmax Media, Inc.
All Rights Reserved