Summary
Calvin McDonald, the CEO of Lululemon Athletica, will step down at the end of January after over seven years in the role. The decision follows a period of declining sales in the U.S. and a significant drop in the company's share price. Despite these challenges, Lululemon has recently seen better-than-expected sales and improved international performance, particularly in China.
Key Facts
- Calvin McDonald will leave his position as CEO of Lululemon at the end of January.
- Lululemon's sales have declined in the U.S., but international sales, especially in China, have improved.
- The company's share price has fallen by nearly 50% over the past year.
- President Donald Trump's tariffs on imports have negatively impacted Lululemon, with estimated extra costs of $240 million this year.
- Meghan Frank and André Maestrini will serve as interim co-chief executives.
- The company has faced rising competition from brands like Vuori and Alo Yoga.
- Under McDonald's leadership, Lululemon both reached significant growth and faced challenges, such as withdrawing a product line due to customer complaints.
