Neiman Marcus is looking at replacing its current CEO Karen Katz. Katz will abdicate her role as CEO at the retailer but will retain her seat on the board. She has worked at Neiman Marcus' since 2010.
This US luxury department store is now looking outside the company for her successor, but no timeframe has been mentioned for her replacement.The Dallas-based group, which owns MyTheresa.com and Bergdorf Goodman, has been struggling since 2013, post Ares and Canadian public pension fund CPPIB acquired it from other private equity firms and exited with approximately $5 billion in debt.
In March last year, the troubled Neiman Marcus entered into discussions with Hudson's Bay Co. for a potential buyout, but the Canadian retailer backed out from any deal following Neiman's high debt.
Neiman was also looking at other options to change its capital structure, but backed out of a restructure plan as its heavy debt made any acquisition hard to structure. The firm's most recently financial quarterly result saw losses extend to $26.2 million when compared to $23.5 million over the same period last year, as debt and previously accrued losses continued to drag the business down.
Despite this Neiman Marcus showed a 4.2 per cent rise in comparable revenue in the Q1 of 2018, which it attributed to its ‘digital first' strategy and investments in new technology. Quarterly revenue rose to $1.12 billion, up 3.8 per cent from $1.08 billion a year ago, the company announced.