Pursuits
Richemont Abolishes CEO Role Amid Biggest Shakeup in Years
- CEO and CFO of Cartier owner will retire as 8 directors depart
- Heads of IWC, Montblanc brands get new roles, board seats
Armstrong: Luxury Has Switched From Tailwind to Headwind
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Richemont, the owner of Cartier jewelry and IWC watches, will abolish the CEO position as part of the most sweeping management overhaul in years amid plummeting sales of luxury timepieces and leather goods.
Chief Executive Officer Richard Lepeu, 64, and Chief Financial Officer Gary Saage, 56, will retire next year, eight directors will step down and new managers will lead watchmaking and operations, the Swiss company said Friday. Brand chiefs will report directly to the board, Chairman Johann Rupert said. Investors welcomed the move, sending the stock up as much as 9.4 percent in Zurich despite a 43 percent plunge in first-half profit.