Department Store

Pittsburgh – In a surprise announcement, GNC Holdings Inc. said that Joe Fortunato, chairman, president and CEO of the company, is stepping down. It named Michael G. Archbold, 53, CEO and CFO of The Talbots Inc., as CEO and member of the board, effective immediately. The change comes a week after GNC announced its second disappointing quarter this year.

J. C. Penney is expanding its New York footprint with the opening of its first-ever store in Brooklyn. The store will have design elements and innovative features not found in any of its other stores, according to the retailer.

Plano, Texas -- J. C. Penney Company will open its first-ever store in Brooklyn, further increasing its New York City footprint, on Aug. 29. The all-new 124,000-sq.-ft., single-level store, located in Gateway Center, will provide a look at Penney's updated store model, which includes a new footwear format.  

As an article that appeared recently right here in Chain Store Age noted, there is something interesting going on with back-to-school shopping this year.

GNC has appointed senior retail industry executive Michael G. Archbold as CEO and member of the board, effective immediately. Archbold replaces chairman, president and CEO Joseph Fortunato, who is leaving the company and has stepped down from the board.

Lead independent director Michael Hines has been elected non-executive chairman.

New York -- Michael Kors Holdings Ltd’s first-quarter net income surged 50% amid strong sales overseas. The luxury retailer earned a better-than-expected $187.7 million for the three months ended June 28, up from $125 million from a year ago.

Net sales jumped 44% to $887 million. Total revenue — which includes licensing revenue — climbed 43% to $919.2 million. Global same-store sales for the quarter rose 24.2%.

Regional department store operator Belk wasted no time filling its president and head merchant position after Kathryn Bufano vacated those positions to become CEO of The Bon-Ton Stores.

Within minutes of Bon-Ton’s announcement that it had hired Bufano, Belk named David Zant president and chief merchandising officer, effective August 11. Zant has served as EVP and general merchandise manager of men’s, home and kids since 2008 and in his new role will report to Tim Belk, chairman and CEO of the 299-unit chain.

Madison, Wisconsin -- Hilldale, a 675,000-sq.-ft. center in Madison, Wisconsin, is preparing to launch a major redevelopment that will add 53,000 sq. ft. of new retail and restaurant space built in an outdoor streetscape. As part of the redevelopment, Kate Spade New York, Lucky Brand, Michael Kors and Sperry Top-Sider will join the existing roster of national and local retailers, restaurants and specialty boutiques. The center is owned and operated by WS Development, Chestnut Hill, Massachusetts.