MERGED RICH’S GETS LINEUP OF EXEC TEAM
NEW YORK — As the initial step toward combining its Lazarus and Rich’s divisions, Federated Department Stores unveiled a new 10-member senior management team Wednesday that will run the $2.2 billion division.
Federated, as reported, will fold the operations of Lazarus in Cincinnati into the Rich’s/Goldsmith’s division in Atlanta, a move that will eliminate about 700 positions in Cincinnati. Federated said it expects to trim about $27 million from annual expenses through the consolidation, which begins March 1.
The new senior management team includes four general merchandise managers for the combined division, which is made up of 50 Lazarus, 20 Rich’s and five Goldsmith’s stores:
Diann Mahood, senior vice president and general merchandise manager for ready-to-wear. She has been a gmm at Rich’s since 1987.
Gwen Canto, senior vice president and gmm for center core merchandise, which includes intimate apparel, shoes, accessories and cosmetics. She has been a gmm at Rich’s/Goldsmith’s since 1990.
George Karamallis, senior vice president and gmm for men’s and children’s. He has been with Rich’s/Goldsmith’s since 1988.
Howard Winkler, senior vice president and gmm for the home store. He joined Rich’s last July.
All four report to Russell Stravitz, chairman and chief executive officer of the combined division. The respective gmm executives at Lazarus for the corresponding areas are expected to leave the firm, according to a Federated spokeswoman.
Tim Worcester, senior vice president of marketing at Lazarus, and Renie Stazak, senior vice president of planning and distribution at Rich’s, have also been named to the new management team. They also report to Stravitz.
The marketing post at Rich’s was open and there was not a corresponding planning/distribution position at Lazarus.
The others on the new management team are: l Tom Jones, executive vice president of finance and operations, who held the same post at Lazarus.
Steve Graham, senior vice president and director of stores for Rich’s. He adds responsibility for visual merchandising and store planning for all stores in the combined division and responsibility for store operations of the Rich’s/Goldsmith’s units in the Southeast.
Jim Zamberlan, senior vice president, director of selling services and Lazarus stores. He had been director of stores for Lazarus since 1990. His new post includes responsibility for selling services and store expenses management for the combined division and store operations for Lazarus units in the Midwest.
Kathie McManus, senior vice president of human resources. She has held this post at Rich’s since July 1991.
Jones, Graham, Zamberlan and McManus report to Susan Kronick, president and chief operating officer of the combined division. Federated said other members of the consolidated division’s management, who will report to the new senior management team, will be named within the next couple of weeks. The target date for completing the consolidation is July 1.
Federated also said Stephen Glassman, vice chairman and gmm of home at Lazarus, will remain in Cincinnati until his retirement at the end of the year. David Clark, senior vice president for human resources at Lazarus since 1988, will be placed in a Federated corporate role that will be announced shortly.