American Eagle Outfitters starts search for new COO; expects Q2 to beat guidance

A longtime company executive is leaving American Eagle Outfitters. 

The apparel and accessories retailer said that Michael Rempell, chief operations officer, has decided to leave the company in order to pursue personal interests and spend more time with his family. Rempell, who joined AEO in 2000 and has served as COO since 2012, will depart in early fiscal 2024. 

The company has started a search for a successor,  and Rempell will stay on to ensure a smooth and successful transition, AEO said.

“For over two decades, Michael has been a valuable member of our executive team and I am grateful for his numerous contributions,” stated Jay Schottenstein, executive chairman and CEO. “He has been a strategic leader and instrumental in taking the company from $1 billion to over $5 billion in revenue, investing in technology and infrastructure that created AEO’s world class operations and made us an innovator in our space. 

“Michael’s accomplishments have been substantial, including the launch and expansion of our successful and profitable digital channel; building an efficient and fluid sourcing capability; transforming our supply chain to compete on both speed and cost; and most recently, strengthening our store operations,” continued Schottenstein.

Q2

In a separate release, AEO said that it  expects second quarter revenue to be approximately flat to last year, ahead of its previous guidance for revenue to be down low-single digits. The company also expects operating income to exceed previous guidance of $25 to $35 million.

Schottenstein noted that demand picked up in late June, with strength continuing in July as the company  introduced its initial fall collections.

“Looking to the second half of the year, we remain focused on building our category leadership and creating unique customer connections, while maintaining a sharp eye on improved profit flow through,” he said.

AEO will report its final second quarter 2023 results by press release on Wednesday, September 6, 2023.