Targeting CEO Brian Cornell to stay for another three years, as company eliminates retirement age
Brian Cornell, President and CEO of Target Corporation.
Anjali Sundaram | CNBC
Target CEO Brian Cornell agreed to stay in his role for about three more years, when the retailer announced Wednesday that it would drop the retirement age of 65.
“We enthusiastically support his commitment and his continued leadership, especially considering his track record and the company’s strong financial performance during his tenure.” Monica Lozano, the top independent director of Target’s board of directors, said in a news release.
Cornell, 63, has been Target’s chief executive officer since 2014. Under his leadership, the company has expanded its customer base and built a reputation as a discounter with fashionable and exclusive items. unique. But recently, Target has been grappling with major shifts in shopping habits with sales slowing and unwanted merchandise piling up.
Company cut its forecast twice, and it Quarterly profits down nearly 90% for the three-month period ending July 30 when it attempted to sell off that excess inventory at a deep discount.
The company’s shares have fallen about 29% this year.
Separately on Wednesday, Target said Arthur Valdez, its director of supply chain and logistics, would be retiring. He will be succeeded by Gretchen McCarthy, an 18-year veteran of Target who is now senior vice president of global inventory management. She will report to Target CEO John Mulligan effective immediately, as Valdez will serve in an advisory role through the end of April.
Led by Cornell, Target has launched many of its own brands, including groceries, activewear, and home decor. It strikes partnerships with prominent national brands, turning store sections into mini-shops for Disney, Levi Strauss and most recently, Ulta Beauty. And it has rolled out e-commerce options, including curbside pickup and turning the backs of its stores into fulfillment centers that handle the majority of online orders.
Those investments have paid off in Covid pandemicbecause Target remains open as an essential retailer and draws shoppers to its website and stores.
Prior to joining the retailer, Cornell was the CEO of PepsiCo Americas Foods, Walmart-Has ownership of Sam’s Club and Michaels Stores.
