Ross Stores, Inc. : Ross Stores CEO Balmuth to Become Chairman in 2014
08/15/2012| 07:31pm US/Eastern
By Nathalie Tadena
Ross Stores Inc. (ROST) said it approved a new management succession plan, under which Chief Executive Michael Balmuth will transition to the role of executive chairman in 2014.
Mr. Balmuth, 62 years old, will continue as the discount retailer's CEO until June 1, 2014. At the same time, the company said it expects to elect a new CEO from its pool of senior executives. Additionally, current Chairman Norman Ferber will become chairman emeritus in June 2014, and his current consulting responsibilities won't change.
"This succession plan will enable us to continue to benefit from Michael's more than two decades of significant management experience at Ross, while helping to ensure a seamless transition," Mr. Ferber said.
Ross buys merchandise from department stores and sells it at a discount. The retailer has seen its profits soar in recent quarters as it continues to attract bargain-hunting consumers amid an uneven economic recovery.
Earlier this month, the company raised its second-quarter earnings forecast after it booked higher-than-expected July same-store sales.
Shares were up 50 cents to $69 after hours. The stock is up 12% over the past three months.
Write to Nathalie Tadena at email@example.com
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