Having been at the helm of Australian retailer giant The Reject Shop (TRS), CEO Andre Reich has announced that he will be stepping down from his role.
TRS CFO Clinton Cahn has been named acting CEO until the company narrows down on Reich’s successor.
Reich took over the reins at TRS as CEO just short of the coronavirus outbreak in January 2020. He replaced former CEO Ross Rusano, who stepped down after the company announced it was expecting a loss for FY19. The retailer eventually posted a net loss after tax of $16.9 Mn in FY19, a few months before appointing Reich.
His leadership has enabled the company to navigate the rough waters of the pandemic, with the chain of discount outlets most recently posting a $15.4 Mn net profit after tax for 1H22. Reportedly, with the ‘fix’ stage of his ongoing turnaround strategy complete, the CEO is now moving on to pursue new opportunities.
In a statement, TRS acknowledged that Reich inherited a company in dire straits, noting that it “required significant turnaround”.
“Under Andre’s leadership, The Reject Shop’s corporate culture has been reset, the business has returned to profitability with a lower cost base, the balance sheet is strong and the store network continues to expand. These achievements will underpin the growth of the company into the future,” TRS said.
Following Reich’s appointment, and in the midst of the COVID-19 pandemic, TRS’ share price also made a triumphant return to levels not seen since April 2018 of close to $8 per share. That has since mellowed down to $5.10 per share - still a significant improvement on the $1.97 low seen just prior to Reich being named CEO.
Thanking Reich for his exemplary leadership and vision, TRS Chairman Steven Fisher said, “Everyone at The Reject Shop wishes Andre well in his future endeavours and we thank Andre for the work he has done to position the Company for future growth. We have commenced an external search to identify an experienced executive to lead the company through the next phases of the turnaround strategy.”