New York—It’s only been a matter of hours since Saks Inc. announced its chairman/ceo and president/chief marketing officer would be leaving following Hudson’s Bay Company’s completion of its purchase, but already one name has been floated as the next president.
According to reports out of London Fashion Week, Marigay McKee, chief merchant for Harrod’s, will be named president, replacing Ronald L. Frasch. While Harrod’s declined comments on the report, sources told Drapers that McKee could start her Saks Inc. post as soon as November 1.
McKee, who has been with Harrod’s for 15 years, was named chief merchant in 2011. She purportedly had been the favorite for the position among other leading contenders including Jim Gold, president of retail at Neiman Marcus; Bloomingdale’s president Tony Spring; and Brendan Hoffman, chief executives at Bon-Ton, according to the New York Post.
Golden Parachutes for Sadove, Frasch
Stephen Sadove, chairman/chief executive at Saks Inc. is scheduled to depart with Frasch when Hudson’s Bay completes its $2.4 billion acquisition of the upscale department store later this year. The duo, who are credited with helping raise Saks’ profile and luring new brands to the store, will exit with lucrative golden parachutes. Sadove reportedly will receive $26 million and Frasch $9 million.
“Steve and Ron have been a great team over the last nine years. They are admired and respected throughout both the company and the retail industry,” said Donald Hess, lead director at Sak’s board of directors. “Their leadership, strategic focus, collaboration, creativity, and enthusiasm for the business have molded Saks into an iconic omni-channel luxury retailer. Together, they have created an exceptional management team, a special company culture, and a distinct fashion point of view. Through their leadership, the whole is truly so much greater than the sum of the parts.”
Sadove and Frasch jointly commented, “Saks has a great team, and working together, we have all accomplished so much over the last several years. We have developed and executed focused merchandising, marketing and service strategies. We survived the recession and emerged a stronger, more disciplined organization. We have continued to modernize the Saks brand and elevate and differentiate our merchandise assortments. Our marketing efforts have become even more strategic and targeted, and our brand and image marketing is among the best in the industry. We have elevated our service levels and demonstrated our commitment to giving and to our communities through our very special charity affiliations. We have strengthened our balance sheet and improved our real estate. We have built a powerful saks.com business and transformed Saks OFF 5TH into an aggressive growth story. And, through key technology enhancements, innovative thinking and collaboration, our evolution to an omnichannel retailer has been a game changer.”