Bernie Brookes has stepped down as CEO of Myer and been replaced by the retailer’s supply chain boss Richard Umbers.
Chief Financial Officer, Mark Ashby, also resigned to take up a role in the US.
Umbers, the Chief Information and Supply Chain Officer, has been appointed Chief Executive Officer and Managing Director, effective immediately.
The stock is tanking on the news. The share price fell 11% in early trade before recovering to around 8% down.
Before joining Myer, Umbers was executive general manager for Parcel and Express Services at Australia Post, and also held the position of CEO for StarTrack, a road and air express logistics provider. He’s also worked at Woolworths in Australia.
His base pay at Myer will be $1.2 million a year, plus long and short term incentives.
Daniel Bracken, chief Merchandise and Marketing Officer and a former CEO of The Apparel Group has been appointed Deputy Chief Executive Officer.
Brookes said: “Myer is a fantastic company with an iconic brand and legacy that I remain incredibly passionate about. While there is no doubt that there are many challenges facing the business, I do believe Myer has a strong future ahead of it. After almost nine years, the time is now right for me to pass on the reins.”
Umbers said: “I am excited by the opportunity to lead Myer, a business and brand that I have long admired. Since arriving at Myer, I have been impressed by the energy and commitment of the team. Together, we will develop and deliver a reinvigorated offer for customers.”
He said Myer must be more consistent in putting the customer at the centre of all of its thinking.
Myer, which has been reporting flat sales, is due to released its half year results on March 19.
Myer shares are down more than 12% to $1.625.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.