DSW promotes CIO to new CEO
DSW Inc. has promoted its omnichannel retailing chief to be its new CEO as the company positions itself for long-term growth.
The company said Roger L. Rawlins, executive VP and CIO, will succeed Michael R. MacDonald as CEO effective Jan. 1. MacDonald, who is retiring from DSW and from the board of directors, will remain with the company through the end of the year to help ensure a smooth transition. Rawlins will be appointed to the DSW board effective Jan. 1.
"On behalf of the board and everyone at DSW, I would like to thank Mike for his leadership and many contributions over the past six plus years, during which time DSW sales nearly doubled and profits increased fivefold," said Jay L. Schottenstein, chairman of DSW's board. "As part of our succession planning process, we are pleased to name an executive of Roger's caliber to be our next CEO. Over the past three years we have made significant strides in our evolution to a more customer-centric company, and today we have a strong platform in place. Notwithstanding the challenging retail environment, I am confident we have the right plan – and that Roger is the right leader – to continue executing our strategy to meet our customers' needs and deliver long-term value for our shareholders."
Rawlins has extensive retail leadership experience including nearly a decade of experience with DSW. Prior to his current role, Rawlins served as executive VP omnichannel, senior VP and general manager of DSW.com and VP, finance and controller.
MacDonald said: "It has been a tremendous privilege to lead DSW. As we transition leadership to Roger, I am confident we have the right person to lead the company forward. Roger is an industry veteran with deep knowledge of all aspects of DSW's business, and he has been instrumental in leading many initiatives that are critical to addressing the shifting needs of the consumer. I look forward to working with Roger to ensure a smooth and seamless transition."
DSW also announced preliminary financial results for the 13-week period ending Oct. 31.
The company expects third quarter revenues to be approximately $665 million, with same store sales declining by approximately 3.9%. The company anticipates third quarter earnings per share to be in the $0.41-$0.44 range. These weaker than expected preliminary third quarter results reflect the general slowing of U.S. retail traffic and weak sales within DSW's women's footwear category, due in part to unseasonably warm temperatures during the quarter.
DSW Inc. operates 469 stores in 42 states, the District of Columbia and Puerto Rico.