Cache CEO Resigns, New CEO Hired

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

On Tuesday, women's clothing retailer Cache (NASDAQOTH: CACH  ) announced that Chairman of the Board and CEO Thomas Reinckens will resign from both roles. Concurrently, the company has poached a new chairman and CEO from rival Limited Brands (NYSE: LB  ) .

In a press release describing the twin announcements, Cache lauded the 30 years of retail, merchandising, and product development experience of its new boss, Jay Margolis. Most recently, Margolis ran the Express and Limited Stores businesses for Limited Brands. Prior to that, he was president and COO at Reebok.

Commenting on his new job, Margolis called Cache "a unique brand that has a loyal customer base," and promised to make it "a great retail brand." Backing up his stated confidence, Margolis said he will invest $1 million in new Cache shares, buying one out of every eight shares the company is issuing as part of a "rights offering" it announced this morning. In so doing, he's taking a bit of a leap of faith.

In separate news, Cache preannounced Q4 earnings results today, saying it believes comparable-store sales have declined 0.7% in the quarter that ended Dec. 29, that total sales were down 3.3%, and that the company incurred a pre-tax loss of anywhere from $4.8 million to $5.1 million.

Cache shares are down 2.4% in early trading, at $2.80 a share, but it's unclear whether it is in response to the management shakeup or the earnings warning.

Read/Post Comments (0) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2237785, ~/Articles/ArticleHandler.aspx, 9/29/2016 4:55:43 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,143.45 -195.79 -1.07%
S&P 500 2,151.13 -20.24 -0.93%
NASD 5,269.15 -49.39 -0.93%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/28/2016 2:28 PM
CACH $0.00 Down +0.00 +0.00%
Cache, Inc. CAPS Rating: *
LB $69.84 Down -1.11 -1.56%
L Brands CAPS Rating: ****