USA: CEO Chuck Conaway leaves Kmart, James Adamson succeeds him
Chuck Conaway, chief executive of beleaguered supermarket company Kmart, is saying goodbye to an annual remuneration package worth US$1.4m and leaving the company. Chairman James Adamson will succeed him.
Kmart filed for Chapter 11 bankruptcy on 22 January, and Conaway was stripped of his title of chairman several days later. It therefore came as no surprise when it was announced yesterday [Monday] that Conaway was leaving the company altogether.
Conaway had been appointed CEO in May 2000, signing a five-year contract. Analysts are of the opinion that he failed to come up with an adequate turnaround plan. The linchpin of his strategy was going head to head with Wal-Mart on price, which was destined to fail as Wal-Mart's colossal buying power enabled it to simply cut its own prices further in response.
Incoming CEO Adamson has as yet declined to outline his turnaround strategy, saying it would be much later in the year before he would be ready to reveal a merchandising and marketing strategy. However, he hinted at a policy of getting back to basics, saying that cleaner stores and improved product availability were a priority.
Analysts are getting impatient to see the first shoots of recovery, however. Retail consultant Burt Flickinger III, managing director of Reach Marketing, told the New York Times that Kmart will have to regain consumer confidence quickly. "It's going to be a real race against time given the momentum that Wal-Mart, Target […] and other competitors have," he said. "It's the right team, but it's the right team with less and less time for a turnaround".
Companies: Wal-Mart Stores
It's easier talking to your customers if you speak their language. With millions of speakers of minority languages around the world, food processors and retailers need to be able to communicate with t...
US retailer Wal-Mart Stores Inc. plans to open 12 to 15 new stores in China this year according to the president of its international business, reports the Xinhua news agency....
Wal-Mart International chief John Menzer has met Indian prime minister Manmohan Singh and commerce minister Kamal Nath to lobby for permission to enter India's tightly-controlled retailing sector, the...
US retail titan Wal-Mart has reported record sales and earnings for the first quarter but said its results were lower than expected due to higher petrol prices and bad weather....
Wal-Mart Germany has cut prices of more than a thousand articles in its stores, some of them by over 20%....
Not content with pocketing one in every three pounds spent on groceries in the UK, the supermarket giant Tesco has now become the first British retailer to smash the £2 bn ($3.78bn) profit barrier. Ho...
US retail giant Wal-Mart Stores Inc, says it will open two outlets in Beijing this year, and at least one more store next year, according to an Asia Pulse report....
Overall US produce sales are soaring, but supermarkets are still losing market share to Wal-Mart, according to government figures....
- US food next wave on display at Winter Fancy Food
- Does Kraft Heinz want to swallow Unilever whole?
- How General Mills plans to grow - CAGNY
- Comment: Meal kits in US - don't believe the hype
- Focus: Nestle CEO plan to balance sales, earnings
- Unilever launches operational review
- Kraft Heinz pulls Unilever bid
- Kerry operating earnings strengthen on slow sales
- Glanbia focuses on nutrition with Irish dairy spin
- Kerry's Scanlon to replace McCarthy as CEO