Dive Brief:
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VF Corporation announced that CEO Eric Wiseman will step down at the end of 2016 after nine years at the helm and over 20 years at the company, which runs a number of apparel and accessories brands, including Timberland, The North Face, Vans, Wrangler, Lee and Nautica.
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Chief Operating Officer Steven Rendle will succeed Wiseman, effective Jan. 1.
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Rendle, who served as president of The North Face from 2004 to 2011, oversees all of VF's business coalitions worldwide and is responsible for its global supply chain and direct-to-consumer platforms.
Dive Insight:
VF has prospered under Wiseman: Net sales have risen from $7.14 billion in 2009, his first year as chief executive, to $12.25 billion in 2015, according to the Wall Street Journal. But headwinds in the apparel space have slowed things down for the company, and this summer VF reported rising inventory levels and lowered its outlook for the year.
During Wiseman's tenure, VF acquired the Timberland Company for $2 billion and made it into one of its biggest brands. In July, VF sold its contemporary brands businesses, which included 7 for All Mankind, Splendid and Ella Moss, to Israeli apparel company Delta Galil Industries Ltd for $120 million.
Rendle is a longtime vet of VF, where he has made a name for himself with particular success at its sports-focused brands — and that may be where VF is looking to stake more ground. The category is both lucrative and fiercely competitive at a time when apparel sales overall are tepid. Since 2014, VF has been on an acquisition spree of sorts, and analysts have speculated it would buy struggling mid-level category brand Lands' End or shaky Lululemon (which has recovered from early signs of weakness but hasn’t recaptured the dominance it held as the innovator of the athleisure clothing).
In a statement on the executive shuffle, Wiseman said Rendle is the "right person" for the job. “We have a powerful business model and an amazing team that’s delivered outstanding long-term results for our shareholders," he said. "I’ve known and worked closely with Steve for the last 16 years. Along the way, he has been deeply involved in every aspect of the business, and he’s clearly ready for this role.”
