COTY Coty Inc

By Kimberly Chin 

Coty Inc. announced Monday a new chief executive and changes to its board, days after reporting sluggish sales, particularly in its consumer beauty division, and disruptions in its supply chain.

The company said Monday that CEO Camillo Pane had resigned effective immediately for family reasons. He had led the company since October 2016. It named Pierre Laubies, a consumer goods industry veteran, as its new leader.

Mr. Laubies will also serve as a director on the board, effective Wednesday. Coty will also consider adding new independent board members "with deep commercial and financial experience," the company said in a press release.

Mr. Laubies most recently served as the CEO of Jacobs Douwe Egberts, a Dutch-based coffee and beverages company that was created in 2014 when Mondelez International Inc. combined its coffee business with D.E. Master Blenders 1753 B.V. of Europe, an integration that he helped lead. Prior to that, he served various roles at Mars Inc. for 25 years.

In addition, the company has appointed Peter Harf as chairman of the board, replacing Bart Becht, and Erhard Schoewel as lead independent director.

Last week, Coty reported a decline in quarterly sales as the company has struggled to streamline its supply-chain system and complete the integration of its $12 billion acquisition of beauty brands from Procter & Gamble Co. in 2016.

The performance of Coty's consumer beauty division, which houses CoverGirl, Clairol and Sally Hansen, also weighed down the company. The consumer beauty division's sales fell 21% in the latest quarter.

Write to Kimberly Chin at kimberly.chin@wsj.com

(END) Dow Jones Newswires

November 12, 2018 09:31 ET (14:31 GMT)

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