Gordman's CEO resigns

"Gordman has not expressed any disagreement with the company on any matter relating to the Company’s operations, policies or practices," the company said. He will receive a year's salary in severance.

The board appointed T. Scott King, the current chairman of the board, to serve as the interim president, chief executive and secretary and will start a search to hire a permanent replacement. King starts at a monthly salary of approximately $58,000, the company said. 

King is a senior managing director with Sun Capital Partners, an investor in Gordmans.

Gordmans, Inc., says it operates 90 "everyday value price department stores" in 20 states, employs 5,000 associates and generates annual revenues of more than $600 million. Gordmans has a store in Lincoln on North 27th Street. 

Upon taking leadership of the company in 1996, Gordman led an overhaul of the merchandising, marketing and stores strategy, and changed the trade name from Half Price Store to Gordmans, which was completed in fiscal 2000. Gordmans completed a public offering of stock in 2010.

For the quarter ended Feb. 1, Gordmans posted $2.7 million in profit, or 14 cents a share, down from $7.9 million, or 41 cents a share, a year earlier. The company's per-share earnings came in at the top of the guidance range it issued in December.

Net sales fell 1.2 percent to $200 million. Analysts polled by Thomson Reuters had expected revenue of $204 million. Same-store sales fell 7.4 percent in the period.

With costs for opening its second distribution center weighing on current-quarter results, Gordmans projected per-share earnings of zero to two cents on net sales of $142 million to $144 million. Before the new guidance, analysts were expecting 19 cents and $141 million, respectively.