- Benno Dorer Appointed Interim President and
Chief Executive Officer
- Steve Rendle Retires as Chairman, President
and Chief Executive Officer
- VF Board of Directors Initiates Search for
Permanent Successor
VF Corporation (NYSE: VFC) today announced that Benno Dorer,
Lead Independent Director of the VF Board of Directors, has been
named Interim President and Chief Executive Officer, effective
immediately. Richard Carucci, a director on the Board since 2009,
will serve as Interim Chairman of the Board.
Dorer’s appointment follows Steve Rendle’s decision to retire
from his position as Chairman, President and Chief Executive
Officer. The company has commenced a search for a permanent Chief
Executive Officer and has retained a leading executive search firm
to support its evaluation of internal and external candidates.
“The Board thanks Steve for his many contributions and
leadership during his nearly six years as CEO and nearly 25 years
with VF,” said Dorer. “Steve’s commitment to the business, passion
for building strong brands and focus on culture have helped VF
evolve our portfolio of strong active-lifestyle brands and
establish VF as a purpose-led company. We wish Steve well in his
future endeavors.”
Dorer continued, “VF has iconic brands in attractive growth
categories, deep relationships with consumers and customers, and
significant competitive advantages as a portfolio company. I look
forward to working closely with the Board and VF’s Executive
Leadership Team to drive profitable growth across our portfolio
while the Board identifies the right leader for the company’s next
chapter.”
Carucci said, “We are fortunate to have Benno lead VF while the
Board conducts a search for a permanent CEO. He knows VF extremely
well and has an excellent track record of generating strong
business results in a global consumer portfolio business.”
“It has been an honor to lead VF as CEO over the last five
years,” said Rendle. “I depart with the deepest gratitude for the
extremely talented and dedicated global team at VF. I remain as
confident as ever in VF’s tremendous potential and look forward to
watching the company’s continued success.”
FY23 Financial Outlook
VF is revising its FY23 outlook largely to reflect the impact of
weaker than anticipated consumer demand across its categories,
primarily in North America, which is resulting in a more elevated
than expected promotional environment as well as order
cancellations in the wholesale channel to manage trade inventories.
Also impacting the outlook, but to a lesser degree, are the higher
than expected impacts from inflation on consumer discretionary
spending in Europe and ongoing COVID-19 related disruption in
China.
VF now expects total revenue growth in the second half of FY23
to be modestly lower than previously outlined, with revenue for the
full year expected to increase 3% to 4% in constant dollars
(excluding the impact of translating foreign currencies into U.S.
dollars), compared to the previous guidance of up 5% to 6% in
constant dollars. The promotional environment, primarily in North
America, and SG&A deleverage from lower volumes are expected to
impact profitability in the near term. Adjusted diluted EPS for the
full year is now expected to be $2.00 to $2.20, versus $3.18 in the
prior year and compared to the previous outlook of $2.40 to $2.50.
Adjusted amounts exclude transaction and deal related activities,
costs related to specified strategic business decisions, noncash
impairment charges, and a pension settlement charge.
VF remains committed to its FY27 long-term targets and capital
allocation priorities, as outlined during its recent Investor Day
on September 28, 2022, and is focused on executing against its
strategy in order to drive strong long-term shareholder value and
on improving near-term performance.
About Benno Dorer
Benno Dorer joined the VF Board in 2017 and has served as the
Lead Independent Director since 2021. He is a member of the Board
of Directors of Origin Materials, Inc. He served as Executive Chair
of the Board of The Clorox Company from September 2020 to February
2021, Chief Executive Officer of Clorox from November 2014 to
September 2020 and Chairman of the Board of Clorox from August 2016
to September 2020. Prior to his role as CEO, Mr. Dorer served as
Executive Vice President and Chief Operating Officer of Clorox from
January 2013 through November 2014, and in various Senior Vice
President and General Manager roles before that. Prior to joining
Clorox in 2005, he worked for The Procter & Gamble Company in
various marketing and sales roles in the U.S. and Europe since
1990.
About VF
Founded in 1899, VF Corporation is one of the world’s largest
active-lifestyle companies which connects people to the activities
and experiences they cherish most through a portfolio of outdoor,
active, workwear and streetwear brands including Vans®, The North
Face®, Timberland®, and Dickies®. Our purpose is to power movements
of sustainable and active lifestyles for the betterment of people
and our planet. We connect this purpose with a relentless drive to
succeed to create value for all stakeholders and use our company as
a force for good. For more information, please visit vfc.com.
Forward-looking Statements
Certain statements included in this release are "forward-looking
statements" within the meaning of the federal securities laws.
Forward-looking statements are made based on our expectations and
beliefs concerning future events impacting VF and therefore involve
several risks and uncertainties. You can identify these statements
by the fact that they use words such as “will,” “anticipate,”
“estimate,” “expect,” “should,” and “may” and other words and terms
of similar meaning or use of future dates, however, the absence of
these words or similar expressions does not mean that a statement
is not forward-looking. All statements regarding VF’s plans,
objectives, projections and expectations relating to VF’s
operations or financial performance, and assumptions related
thereto are forward-looking statements. We caution that
forward-looking statements are not guarantees and that actual
results could differ materially from those expressed or implied in
the forward-looking statements. VF undertakes no obligation to
publicly update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise, except
as required by law. Potential risks and uncertainties that could
cause the actual results of operations or financial condition of VF
to differ materially from those expressed or implied by
forward-looking statements include, but are not limited to: risks
arising from the widespread outbreak of an illness or any other
communicable disease, or any other public health crisis, including
the coronavirus (COVID-19) global pandemic; the level of consumer
demand for apparel, footwear and accessories; disruption to VF’s
distribution system; changes in global economic conditions and the
financial strength of VF’s customers, including as a result of
current inflationary pressures; fluctuations in the price,
availability and quality of raw materials and contracted products;
disruption and volatility in the global capital and credit markets;
VF’s response to changing fashion trends, evolving consumer
preferences and changing patterns of consumer behavior; intense
competition from online retailers and other direct-to-consumer
business risks; third-party manufacturing and product innovation;
increasing pressure on margins; VF’s ability to implement its
business strategy; VF’s ability to grow its international,
direct-to-consumer and digital businesses; VF’s ability to
transform its model to be more consumer-minded, retail-centric and
hyper-digital; retail industry changes and challenges; VF’s ability
to create and maintain an agile and efficient operating model and
organizational structure; VF’s and its vendors’ ability to maintain
the strength and security of information technology systems; the
risk that VF’s facilities and systems and those of our third-party
service providers may be vulnerable to and unable to anticipate or
detect data or information security breaches and data or financial
loss; VF’s ability to properly collect, use, manage and secure
business, consumer and employee data and comply with privacy and
security regulations; foreign currency fluctuations; stability of
VF’s vendors’ manufacturing facilities and VF’s ability to
establish and maintain effective supply chain capabilities;
continued use by VF’s suppliers of ethical business practices; VF’s
ability to accurately forecast demand for products; continuity of
members of VF’s management; VF’s ability to recruit, develop or
retain qualified employees; VF’s ability to protect trademarks and
other intellectual property rights; possible goodwill and other
asset impairment such as the recent impairment charges related to
the Supreme® reporting unit goodwill and indefinite-lived trademark
intangible asset; maintenance by VF’s licensees and distributors of
the value of VF’s brands; VF’s ability to execute acquisitions and
dispositions and integrate acquisitions; business resiliency in
response to natural or man-made economic, political or
environmental disruptions; changes in tax laws and additional tax
liabilities, including for the timing of income inclusion
associated with our acquisition of the Timberland® brand in 2011;
legal, regulatory, political, economic, and geopolitical risks,
including those related to the current conflict in Ukraine; changes
to laws and regulations; adverse or unexpected weather conditions;
VF's indebtedness and its ability to obtain financing on favorable
terms, if needed, could prevent VF from fulfilling its financial
obligations; climate change and increased focus on environmental,
social and governance issues; and tax risks associated with the
spin-off of our Jeanswear business completed in 2019. More
information on potential factors that could affect VF’s financial
results is included from time to time in VF’s public reports filed
with the SEC, including VF’s Annual Report on Form 10-K, and
Quarterly Reports on Form 10-Q, and Forms 8-K filed or furnished
with the SEC.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20221204005057/en/
Investor: Allegra Perry
ir@vfc.com
Media: Colin Wheeler
corporate_communications@vfc.com
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