In the midst of the holiday shopping season, the new CEO of Bed Bath & Beyond laid off most of his executive suite, according to news reports on Tuesday. The move comes weeks after the company announced it would close down dozens of stores across the United States.
The firm announced six members of its C-suite were leaving, including its chief merchandising officer, chief marketing officer, and chief digital officer, CNN reported. Three of the six had been at the New Jersey-based firm for more than 20 years.
CEO Mark Tritton, who joined the retailer on Nov. 4, issued a statement about their departures. He had worked in Target’s executive suite before joining the company, replacing former CEO Mary A. Winston.
“This is the first in a number of important steps we’re taking,” he said in a statement obtained by CNBC. “Balancing our existing expertise with fresh perspectives from new, innovative leaders of change, will help us to better anticipate and support our customers in their life journeys and shopping needs.”
The company’s chief operating officer and senior vice president left earlier in the year.
Bed Bath & Beyond has been hammered by the likes of Amazon.com and also the discount home furnishing chain HomeGoods. The chain has had a three-year decline in same-store sales growth, while sales growth has dropped for three consecutive quarters. Gross income has dropped for 10 straight quarters, The Associated Press reported.
The firm runs Baby, Christmas Tree Shops, and Cost Plus World Market.
In October, Winston announced during a call that 60 stores will be shuttered. Earlier this year, the company said it would close 40 of its stores. The closings are expected until after the coming holiday season is over, Winston said during the call, reported USA Today. The firm’s fiscal year usually ends in early March.
“With this action we are increasing the profitability of our remaining portfolio and believe that our remaining fleet will benefit from our renewed focus on driving traffic and operating efficiency,” Winston was quoted by the outlet as saying.
According to a profile of the company, the New Jersey-based chain was founded in 1971 and currently has about 60,000 employees.
By the end of August, the firm had about 1,534 stores, including 993 Bed Bath & Beyond stores, USA Today noted.
So far this year, retailers have announced more than 8,000 store closures, which exceeds last year’s total of 5,864 closure, says a report from Coresight Research.
The Associated Press contributed to this report.