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Mothercare chief executive Simon Calver resigns | Mothercare chief executive Simon Calver resigns |
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Mothercare chief executive Simon Calver has resigned, the mother-and-baby products retailer has announced. | Mothercare chief executive Simon Calver has resigned, the mother-and-baby products retailer has announced. |
The firm gave no reason for Mr Calver's departure, but said he had resigned with immediate effect and would leave the company at the end of March. | |
Mothercare has been carrying out a restructuring plan in an attempt to stem losses at its UK business, including the closure of many stores. | |
However, the retailer issued a profit warning in January. | |
The warning was triggered by disappointing trading over the Christmas period, when the retailer suffered from fierce price competition in the UK and weak economic conditions overseas. | The warning was triggered by disappointing trading over the Christmas period, when the retailer suffered from fierce price competition in the UK and weak economic conditions overseas. |
Group worldwide sales fell 6.1% in the 12 weeks to 4 January, with UK like-for-like sales down 4%. | Group worldwide sales fell 6.1% in the 12 weeks to 4 January, with UK like-for-like sales down 4%. |
Announcing Mr Calver's departure, Mothercare said it remained confident in the underlying strength of the business and that full-year results should be in line with current forecasts. | |
"The strategy remains to restore profitability in the UK business to complement the strong and growing international operations," the firm said. | |
The retailer operates 191 Mothercare stores and 40 Early Learning Centre outlets in the UK. It also has 1,201 international stores across 59 countries. | The retailer operates 191 Mothercare stores and 40 Early Learning Centre outlets in the UK. It also has 1,201 international stores across 59 countries. |
However, it has been hit by competition from supermarkets and online retailers. Since it began its restructuring programme, it has closed 80 stores in the UK. | |
In the 2012-13 financial year, Mothercare's UK business recorded a loss of £21.7m. | |
In a statement, Mothercare chairman Alan Parker said: "Since Simon Calver joined Mothercare PLC in April 2012, under his leadership the company has made progress in implementing the Transformation and Growth plan. | In a statement, Mothercare chairman Alan Parker said: "Since Simon Calver joined Mothercare PLC in April 2012, under his leadership the company has made progress in implementing the Transformation and Growth plan. |
"In particular, Simon Calver's e-commerce expertise has allowed Mothercare to accelerate its development as a multi-channel retailer in the UK. We wish him well in the future. | "In particular, Simon Calver's e-commerce expertise has allowed Mothercare to accelerate its development as a multi-channel retailer in the UK. We wish him well in the future. |
"Mothercare has a strong executive management team which is very capable of running the business in the interim while the search for a new CEO is under way." | "Mothercare has a strong executive management team which is very capable of running the business in the interim while the search for a new CEO is under way." |
Mothercare said Mr Calver would receive a payment of £250,000 in lieu of six months' notice. |