PARIS — In a change of command at the world’s second biggest retailer, Lars Olofsson will succeed José Luis Duran as group chief executive officer at Carrefour, effective Jan. 1.
Olofsson, 56, who is currently executive vice president of the Nestlé Group, responsible for strategic business units, marketing and sales, has more than 30 years’ experience at the Swiss food giant.
“His strong leadership and sales and marketing expertise make him the ideal leader for Carrefour to carry out the next stage of the group’s development,” stated Amaury de Sèze, chairman of Carrefour’s board of directors.
Duran, chairman of Carrefour’s management board since 2005, will leave the retailer after 18 years following a transition period. Duran, a Spaniard, had been under pressure to improve Carrefour’s financial performance and limping stock price from its largest shareholder, Blue Capital Group, the investment consortium of LVMH Moët Hennessy Louis Vuitton chief Bernard Arnault and Colony Capital.
Olofsson, a Swede, will arrive at Carrefour at a challenging time. He will be faced with flagging consumer confidence in France, the retailer’s largest market, and the challenge of effectively building business abroad.
Carrefour, with 2007 revenues of over 82 billion euros, or $103 billion, has consistently disappointed the market with its results recently. Wal-Mart Stores Inc. is the world’s biggest retailer with more than $350 billion in 2007 revenue.
Speculation first surfaced in July that Arnault and Colony were eager to replace Duran as the chain continued to experience sagging sales and the share price came under pressure.
Carrefour’s stock has slid from above 53 euros a share in January. The stock rallied more than 5 percent on news of Olofsson’s arrival, but backtracked over the day to close up 3.5 percent to 30.86 euros, or $38.57 at current exchange, in trading on the Paris Bourse.
Duran came under fire early this year when he unveiled plans to switch the company’s Champion supermarkets in France to the Carrefour Market brand. He was also forced to slash Carrefour’s profit guidance.
In an extraordinary shareholders meeting in July, Duran was ejected from the management board but retained the title of ceo. At the same time, Arnault and Colony were given an additional three seats on the board from which to assert their authority. Blue Capital holds 13.5 percent of Carrefour’s shares.
Since Duran took over in 2005, he has tried to streamline business by selling unprofitable operations in countries like Switzerland and Portugal to funnel more capital to expansion in fast-growth markets from Poland to China. His efforts have had mixed success. Carrefour reported a sales increase of 6.8 percent in the third quarter, helped by better business in French hypermarkets and stronger international business. But third-quarter growth at French hypermarkets was driven by heavy promotional activity, which is expected to weigh on Carrefour’s profits.
Duran was appointed ceo in 2005 after a management shake-up ousted former ceo Daniel Bernard. Blue Capital purchased a joint 9 percent stake in Carrefour in 2007. Longtime Carrefour investors, the Halleys of France, dissolved a shareholders pact in April that cleared the way for Blue Capital to raise its stake enough to become Carrefour’s controlling shareholder.�
There'll be no rest for those headed to Europe for men's, as Paris just closed the gap with Milan. According to a provisional calendar released by the Chambre Syndicale, Paris Men's Week will now open a day earlier on January 16. See new highlights on the official lineup on WWD.com. #wwdnews #wwdfashion (📷: @kukukuba)
BREAKING: Jonathan Saunders is leaving @DVF. The designer has resigned from his position as chief creative officer of Diane von Furstenberg, the company said in a statement on Friday. At the time of his hire, von Furstenberg said Saunders’ arrival symbolized and facilitated her stepping back from the day-to-day duties that occupy the work of a full-time creative director. The British designer joined DVF in May 2016 and was in charge of all product categories. #wwdnews
For @versace_official’s spring ad campaign, the brand emphasized the archival prints from the spring tribute collection dedicated to the late Gianni Versace. Closing out the show were five of Gianni’s favorite models: Cindy, Naomi, Carla, Helena, and Claudia. Bowing on December 18, the new campaign is yet another tribute to supermodel-dom as the images by Steven Meisel are fronted by @iamnaomicampbell, @cturlington, @gisele and more. #wwdfashion
Four-time Oscar-nominated actress Annette Bening has been waiting 20 years to play Gloria Graham in "Film Stars Don't Die in Liverpool," which will be released on December 29. The movie about Graham – a Hollywood star known for her controversial relationship with a younger Englishman named Peter Turner – is based off a memoir Turned wrote. "She felt vulnerable to him, because she loved him, she really did love him. And anyone that we really truly are in love with, we re vulnerable to in a very deep way," said Bening. Read our full interview with the modern icon of an actress on WWD.com. #wwdeye (📷: @ninebagatelles; Styled by @cristinaehrlich)
The crisp white button down: a staple that can be dressed up or down and accessorized throughout the decades. Here, on a Art Basel-goer in 2017 on the left and on the iconic Audrey Hepburn in “Roman Holiday” in 1953 on the right. #tbt #wwdfashion (📷: Andrew Morales)
Known for her work with @victoriassecret, 25-year-old model @georgiafowler is raising her profile in Hollywood. Fowler stars in @vincecamuto’s holiday campaign, which launched in partnership with “Pitch Perfect 3.” “Almost every shoot with Vince Camuto, I’ve had to face a fear…It was definitely a challenge. I’m so grateful for it, though. I’ve always wanted to be a pop star, so that was the perfect chance,” Fowler said. Head to WWD.com to read about Fowler’s experience modeling, including at the #VSFashionShow, and her relationship with Nick Jonas. #wwdeye (📷: @jilliansollazzo)
EXCLUSIVE: Huda Kattan just became the first beauty influencer to land a major beauty deal. Kattan's business, @hudabeauty, has received a minority investment from private equity firm TSG Consumer Partners. The brand, which industry sources say is on track to do $200 million in retail sales for 2017, will receive support on product, retail and geographic expansion through the deal. Get all the details on the deal and read @_a_collins' interview with Kattan on WWD.com. Link in bio. (📷: @jgreenery) #wwdbeauty #wwdnews
Peruvian model @juanaburga_official – who is known for walking the runways of @rodarte, @viviennewestwood and @torybuch – is making the move to the big screen with drama “Los Últimos.” The film premiered in Argentina in November and arrives in the U.S. and Europe in 2018. On making the switch from modeling to acting, Burga told WWD: “It’s a completely different thing – a lot of people think it’s similar or try to connect things, especially like getting used to the camera or being looked at all the time or playing these different characrers, but film is a completely different story.” #wwdeye (📷: @jgreenery)
London’s newly opened @designmuseum will look back on the life and work of Azzedine Alaïa in a show that the designer helped to curate before he died of heart failure last month. The retrospective, which Alaïa had worked on with Mark Wilson, chief curator of the @groningermuseum, will look at the impact of his work worldwide. The show, “Azzedine Alaïa: The Couturier,” will run from May 10 to October 7. Read more about the exhibit on WWD.com #wwdnews #wwdfashion (📷: @zefashioninsider)