Goodman Named Wet Seal CEO
Foothill Ranch, Calif.–based The Wet Seal Inc. named John D. Goodman as its new chief executive officer Jan. 7.The prominent mall-based retailer had been running without a CEO since July, when the last CEO, Susan McGalla, was fired.
Goodman joined Wet Seal’s board in September as the retailer was in the last chapter of a proxy battle that ended with the board chairman, Hal Kahn, resigning his position and three other board members leaving the company. A new slate of board directors joined the company in October. The new board is led by Lynda Davey, who applauded Goodman’s appointment. “We found John’s energy and passion for the fashion industry and, in particular, his understanding of the juniors customer perfectly aligned with the attributes we were seeking in a chief executive officer,” she said. The new board made an extensive search for a new CEO immediately after joining the company.
Goodman has worked at Sears Holding, where he served as executive vice president, chief apparel and home officer. He also worked at Charlotte Russe, Levi Strauss & Co., Mervyns, and Bloomingdale’s.
Wet Seal runs a fleet of 555 stores; 475 are Wet Seal stores, offering juniors fashions, and 80 are Arden B stores, which offer contemporary looks. The company’s same-store sales have been declining, and during the crucial holiday month of December, the company reported a decline of 9.7 percent compared with the same time in the previous year.In an October interview, B.Riley & Co. analyst Jeff Van Sinderen said it will take a new chief executive to restore the company’s fortunes. Since July, Wet Seal had been run by an “office of a chairman,” which used the efforts of Ken Seipel, the company’s president and chief operating officer; Steve Benrubi, executive vice president and chief financial officer; and former chairman Hal Kahn. —Andrew Asch
