- Push-out Score determined
- After about three and a half years in the position
- Thanks and good wishes for Herrero
- Carlos Alberini taking over
(exechange) — Los Angeles, California, January 28, 2019 — Victor Herrero, chief executive of Guess, leaves. It is a change at short notice. As announced by Guess? Inc. in a news release and in a regulatory filing published on Monday, January 28, 2019, Amigo Victor Herrero, Chief Executive Officer, leaves the apparel maker after about three and a half years in the role, effective February 2, 2019.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who departed over the past 12 months was 8.4 years, according to data compiled by exechange.
Victor Herrero’s duties will be taken over by Carlos E. Alberini, currently Chief Executive Officer of Lucky Brand.
The fact that Victor Herrero’s successor is brought in from outside suggests that the board may seek to stimulate change with fresh ideas and new initiatives.
In general, an outsider does not have the constraints of an insider when it comes to leading painful changes or making unpopular decisions.
No reason given
In the announcement, Guess did not explicitly explain the reason for Victor Herrero’s imminent move, leaving room for speculation.
Precise information regarding Victor Herrero’s future plans was not immediately available.
Generally speaking, it is often an alarm signal for stockholders when a CEO leaves the post at short notice and without a reasonable explanation.
Guess said: “Victor Herrero, Chief Executive Officer and a Director, is leaving the company effective February 2, 2019.”
Guess further said: “On January 25, 2019, Mr. Victor Herrero Amigo …, the Chief Executive Officer of Guess?, Inc. …, and the Company entered into, and the Company’s Board of Directors … approved, a Separation Agreement pursuant to which Mr. Herrero’s employment with the Company will end on February 2, 2019, and Mr. Herrero will resign as a member of the Board, effective on that date.”
Share price decline
The management change announcement follows a decline in Guess?, Inc.’s share price of 35 percent since November 2013.
Chaired by Maurice Marciano
Guess?, Inc. is chaired by Maurice Marciano.
In the position of CEO since 2015
Victor Herrero has served as the Company’s Chief Executive Officer since August 2015.
Prior to joining the Company, Herrero held several positions with Inditex Group, the world’s largest fashion retailer with brands including Zara, Massimo Dutti, Pull & Bear, Bershka, and Stradivarius.
From September 2012 until July 2015, Herrero served Inditex Group as its Head of Asia Pacific, where he was responsible for all aspects of the Asia business for all brands.
Prior to that position, Herrero served as Inditex Group’s Head of North Asia and India from May 2010 to August 2012, where he was responsible for all aspects of the business in those markets.
Herrero joined Inditex Group in 2003 and served in a variety of other capacities during his tenure there. Prior to joining Inditex Group, Herrero served as a management consultant for Arthur Andersen in Asia from 1998 to 2002.
Herrero holds an M.B.A. from the Kellogg School of Management at Northwestern University, a B.A. in Business Administration from the Ecole Superieure de Commerce de Paris in Paris, France, and a Bachelor’s of Law Degree from the Universidad de Zaragoza in Spain.
Herrero has also served as a director of the Company since August 2015.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the likelihood that a manager was pushed out or felt pressure to leave the position.
exechange reached out to Guess and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 5.2019 ($).