City grandee allan leighton is planning among great turnrounds as he attempts to restore c&a, a 179-year-old clothing retailer which has had fallen right out of favor whilst still being relies greatly on traditional shops.
Mr leighton, who has got assisted oversee changes at asda, royal mail and also the co-operative group, and ended up being appointed chairman of c&a ag in september just last year, is moving power out of the founding brenninkmeijer household while he centers around modernising certainly one of europes earliest companies.
He has got recruited an exterior chief executive giny boer, having spent her career at furnishings merchant ikea to operate c&as european operations and earned more independent administrators in the manner merchants parent organization.
The target is to ensure it is independent of the household, he informed the financial instances. it is family-owned yet not family-run or family managed.
C&a, which quit the uk in 2001 yet still operates over 1,400 shops throughout europe, had been created by clemens and august brenninkmeijer in 1841, as well as its administration features tended to be ruled by people in the dutch-german brenninkmeijer household.
The old rule guide no further exists, said mr leighton. members of the family working within the company are now on a single agreement terms as any other administrator.
He said the team, without any financial obligation and a stronger position in markets such as germany therefore the netherlands, had an opportunity to develop substantially.
The business enterprise hasn't performed for ten years but over the past 12-18 months the team has been doing a fantastic job of stabilising it and putting the basics in spot. there is an opportunity because of this to be one of several great turnrounds.
The post-coronavirus data recovery was in fact stronger in northern european countries compared to the uk, about when it comes to shops, he added. a lot of the data recovery in the uk has been around meals and online.
Mr leighton said there clearly was in addition an even more equal commitment regarding the continent between stores and landlords. in the uk, around 10 huge landlords own a number of the key sites. in europe it really is far more disconnected, he added. like a number of other merchants, c&a stopped having to pay rent whenever its shops closed during lockdown, also on shops possessed by other brenninkmeijer companies.
C&a does not publish monetary information, but business estimates put yearly product sales at between 5bn and 7bn, with lower than 10 % of this attained online.
Mr leighton is planning to develop that percentage notably, modelling the expansion on that of uk retailer upcoming. its a three- to five-year program, he stated.
We're going to and possess shut stores in which essential, he included. we ask whether stores create cash while making profit. if you don't, then we'll shut them unless obtained a task to relax and play in giving support to the omnichannel providing.
C&a in 2010 said it might close 13 shops in germany and 30 in france to handle underperformance.
Ms boer becomes leader of c&a european countries in january, while birgit kretschmer will join from adidas as finance manager.
Ms boer will change edward brenninkmeijer, that will become a non-executive director at c&a ag. she's the next girl become appointed as leader of an important style group this current year, after helena helmersson took at h&m.
The modifications leave eric brenninkmeijer since the only family manager of c&as main trading entity.
Brenninkmeijer nearest and dearest can also be in a minority regarding the board for the keeping organization for the first time, when malyscastella, whom formerly presented board roles at akzo nobel and air liquide, joins as a non-executive in january.
Mr leighton said that as he features a great relationship utilizing the household, such as the board members, they know they cant tell me how to proceed.
Since their appointment this past year, c&a features sold its mexican company to grupo alto for an undisclosed price and raised significantly more than 400m by drifting its brazilian product.