EXECUTIVE MOVES
Glenn McMahon Leaving St. John as CEO
After six years leading St. John into new territory, Glenn McMahon, the company’s chief executive, is stepping down from his job at the end of July.
The board of directors on July 16 announced his departure and is looking for a replacement. No reason was given for his leaving. Soon after, the board announced that Bernd Beetz, the chief executive of Coty Inc. for 11 years until 2012, would be the company’s new chairman.
“Glenn has been a committed leader over the past six years, and we are thankful for his dedication to the brand,” said Jim Kelley, a founding partner of Vestar Capital Partners, a majority shareholder in St. John. “We wish Glenn all the best in his future endeavors.”
McMahon came on board in 2007 after being president of Dolce & Gabbana USA. He joined the Irvine, Calif.–based company after the CEO position had been empty for more than a year following the departure of Richard Cohen, an East Coast executive brought on board to inject some energy and youth into the label.
Cohen hired actress Angelina Jolie as the face of the label’s advertising campaign and tried to update the look of the clothes. But annual revenues dropped from the company’s high of $400 million after Cohen alienated many of the brand’s tried-and-true customers.
Estimates are that McMahon brought revenues back up to that level by expanding sales into Asia and boosting the company’s selection of accessories and shoes. The company employs more than 2,500 people.
“I’m very proud of what I’ve accomplished during my time with St John. I believe in the team that I’ve built and the future of this great American brand,” McMahon said in a statement. “I am excited about my move back to New York to pursue other opportunities.”
St. John, founded in 1962 by Marie and Robert Gray, was originally called St. John Knits but changed its name after Cohen tried to encompass more customers.
Robert Gray passed away in 2012 at the age of 86. For many years, his wife was the company’s principal designer.
Last year, Vestar Capital Partners put the company up for sale. It employed the Rothschild Group to look for a buyer.
Vestar bought a majority share of the designer knitwear company in July 1999 for $520 million.
St. John sells its clothes to upscale stores such as Saks Fifth Avenue, Neiman Marcus and Bloomingdale’s. It also has more than 25 stores and outlets across the country.
