Neal Goldberg, a veteran of Macy's, Victoria's Secret and Gap Inc., has been named president and chief executive officer of Zale Corp., the $2.5 billion jewelry retailer.
Goldberg will succeed Betsy Burton, the ceo since February 2006. Burton replaced Mary L. Forte, who resigned after three years because of lagging financial returns. A former ceo of Supercuts Inc., PIP Printing and Cosmetic Center Inc., Burton had a reputation in the industry as a turnaround specialist. She has a two-year consulting agreement with the company.
Zale reported a net loss of $28.4 million for the first quarter ended Oct. 31, versus a loss of $26.4 million a year ago. Quarterly revenues declined 1.2 percent to $377 million compared with $382 million last year.
The quest for permanent leadership hasn't been Zale's only challenge in recent years.
In April 2006, the Securities and Exchange Commission started an investigation into certain accounting practices of the Irving, Tex.-based firm. The probe looked at accounting for extended service agreements, leases and accrued payroll.
Three months later, Zale was hit with three shareholder class action lawsuits alleging that the company misled investors about its financial condition. According to the allegations in each of the three complaints, company executives issued false and misleading financial results to the market during the class period to artificially inflate the price of Zale's shares.
In September 2006, Rodney Carter was named group senior vice president and chief financial officer, a title he still holds. The SEC probe was terminated with no enforcement action being recommended.
Goldberg, who also joined the company's board, said on a conference call Thursday that Zale "has a lot of good things going for it — a solid foundation of great brands, dedicated customers and enthusiastic associates. I'm encouraged by our initiatives, which include growing our core mall business, increasing gross margins and generating value for shareholders.
Goldberg most recently was president of The Children's Place Retail Stores Inc., a specialty retailer of value-priced apparel and accessories for children.
In September, The Children's Place ceo Ezra Dabah resigned after an internal investigation revealed violations of the company's policies and procedures. The board named Chuck Crovitz, a board member, as interim ceo. An investigation by the company's audit committee showed that in two instances Dabah did not comply with The Children's Place internal policies related to securities trades.
From overseeing America’s fastest-growing speciality retailers to codifying cool, WWD talked to the women who are leading the way for the future of beauty. Check out our Instagram Stories to see how these women built today and are creating tomorrow. (📸: @hannah_khymych) #wwdbeauty
For @laperlalingerie's spring 2018 show, the brand chose to host their event at @thevenetianmacao. With Chinese megastars @bingbing_fan and @hubing in attendance, La Perla debuted a rock ‘n’ roll-inspired collection. The show marked the start of Sands Macao Fashion Week, which runs from October 19 to 24 — the city’s first such event. Pictured here are models backstage with glimmering eyes. #wwdfashion (📷: Cheuk-Yin To)
Trending for spring 2018: top stitch design. Gone are the days of stitch just for seams — designers are using the once-minimal detail to create strong decorative elements. (📷: Paola Testa; Styled by @andrew_shang) #wwdfashion
@tradesy is turning the concept of a showroom upside down with its new space in Santa Monica. Here, the company plans to hold events, art exhibits and a showcase rare fashion pieces like this Louis Vuitton boxing set. Get all the details on Tradesy’s first showroom on WWD.com. #wwdnews
Spotted last night at the @erdem x @hm launch event: Kate Bosworth, Rashida Jones, Kirsten Dunst and Selma Blair. The party, which took place in LA, also marked the opening of their pop-up shop. “I was interested in creating a collection that wasn’t in any way disposable. It was about pieces you’d create and keep forever, things that have a permanence to it,” designer Erdem Moralioglu said. #wwdeye (📷: Katie Jones)
Renee Zellweger in yellow in 2001 and again in 2017. Chosen as one of the 12 @pantone Leading Spring Colors (and dubbed “Meadowlark”), it only makes sense that the bright hue stands the test of time and is making a resurgence this season, seen already on stars like @blakelively and @gigihadid. (📷: Donato Sardello & @rexfeatures) #wwdfashion #tbt
Dior’s 70th anniversary celebration continues with a new exhibition at the Royal Ontario Museum in Toronto. “Christian Dior,” which is scheduled to run through March 18, takes a look at the founders tenure from 1947 to 1057 and feature 40 designs. Pictured here is an evening gown from the Ailée, fall 1948-49 haute couture collection. #wwdfashion (📷: Brian Boyle)