J.C. Penney: It's Apparently More Than CEO Johnson Who Live Far From Headquarters
J.C. Penney’s new CEO Ron Johnson reportedly often spends
life far from the company’s Plano, Texas, headquarters. It’s not just
him. Many of the retailer’s executives have cross-country commutes, and
aren’t centrally located in the Lone Star.
Johnson and executive vice presidents Ben Fay and Laurie live in
California; Chief Creative Office Michael Fisher and a senior design
executive, Nick Wooster, come in from New York and construction
executive Bob Laughrea resides in Boston, according to Bloomberg.
If only the tally ended there. Bloomberg also reports that human
resources chief Dan Walker, vice president Sissie Twiggs and senior vice
presidents Amy Leonard and Donna Isralsky also live in California and
commute.
J.C. Penney defends these living arrangements, noting fairly that retail executives–especially those involved in a complicated turnaround–spend an enormous amount of time flying all over. The company’s argument: Why uproot a family if the J.C. Penney parent will still spend the week at 30,000 feet?
Still, it’s more about the message than the logistics. Johnson and his crew are leading what some observers call the most ambitious retail turnaround ever, and it’s not working. J.C. Penney shares have been halved since Johnson took over; the company’s credit rating reduced to junk and some of the most ambitious parts of the turnaround–no coupons, no promotions–have already been reversed. The company is ceding market share to rivals like Macy’s and Kohl’s, as well as others like Gap and Target.
Investors are indeed souring on Johnson and his executives–major investor Vornado Realty Trust sold half its stake–and seeming to enjoy the high-altitude lifestyle while the company is in turmoil won’t help them change that.
(Image credit: Getty Images via @daylife)
J.C. Penney defends these living arrangements, noting fairly that retail executives–especially those involved in a complicated turnaround–spend an enormous amount of time flying all over. The company’s argument: Why uproot a family if the J.C. Penney parent will still spend the week at 30,000 feet?
Still, it’s more about the message than the logistics. Johnson and his crew are leading what some observers call the most ambitious retail turnaround ever, and it’s not working. J.C. Penney shares have been halved since Johnson took over; the company’s credit rating reduced to junk and some of the most ambitious parts of the turnaround–no coupons, no promotions–have already been reversed. The company is ceding market share to rivals like Macy’s and Kohl’s, as well as others like Gap and Target.
Investors are indeed souring on Johnson and his executives–major investor Vornado Realty Trust sold half its stake–and seeming to enjoy the high-altitude lifestyle while the company is in turmoil won’t help them change that.
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