Ralph Lauren Corp. has a new CEO. The company has announced that the president of Old Navy will be filling his very large shoes.
The soon-to-be 76-year-old CEO and founder will still be involved deeply with his brand, but will hand the reigns over to Stefan Larsson, a former H&M executive and president of Old Navy, Gap’s down-market brand. Larsson has been fully credited with turning Old Navy into a powerhouse in the cheap clothing market.
Lauren will remain at his company as executive chairman and chief creative officer.
In an interview with Fox Business on Tuesday the company’s founder said, “The company has to change. It’s a public company and we have a responsibility to have the right leadership.”
The Ralph Lauren brand had $7.6 billion in sales in its latest fiscal year and profits have sagged in 2015.
The company’s share price has fallen about 44% this year through Tuesday’s close, erasing nearly $5 billion in market value.