Signet Jewelers sales rise 3.1 percent Colored diamonds, bridal propel buys
Signet Jewelers Ltd., the parent company of Kay Jewelers and Jared the Galleria of Jewelry, announced Tuesday that Mark Light, currently president and chief operating officer, will become its new chief executive starting Nov. 1. Current CEO Michael Barnes is stepping down on Oct. 31.
(Signet Jewelers Ltd.)
CLEVELAND, Ohio -- Signet Jewelers Ltd, the largest jewelry retailer in the U.S., U.K. and Canada, this morning announced that President and Chief Operating Officer Mark Light will become its new chief executive starting Nov. 1. He will replace current CEO Michael Barnes, who is resigning from his job and from Signet's board of directors to "pursue opportunities closer to his home in Dallas," effective Oct. 31.
Incoming Signet Jewelers CEO Mark Light
Barnes was based in Akron, home of Signet's U.S. retailers Kay Jewelers, Jared the Galleria of Jewelry, and regional brands such as J.B. Robinson.
"We are delighted to announce Mark's promotion to Chief Executive Officer of Signet," Chairman Todd Stitzer said in a written statement. "Mark is an experienced, strategic leader who has been deeply involved in the company's Vision 2020 Strategy, the Zale acquisition and its ongoing integration."
"In addition he has a meticulous approach to operational details, and has been the main architect of our Sterling division's consistently profitable growth and has played a key role in defining and executing Signet's growth strategy. He has also been an advisor to our U.K. Managing Director since 2013 and became formally responsible for that business in mid-2014. These valuable attributes have been developed during his long and successful career of over 30 years with Signet, and the Board of Directors is confident that Mark is the right person to lead the company forward as Signet enhances its position as a leading retailer in the U.S., U.K. and Canada."
JCK Magazine called the news "sudden and unexpected," noted that Light is Signet's third CEO in five years, and said that when Barnes' predecessor, Terry Burman, stepped down in 2010, "Light took himself out of the running for the CEO post.
Sterne Agee Senior Research Analyst Ike Boruchow said in a written report that "Although the announcement was unexpected, we believe newly-promoted CEO Mark Light is a very strong choice to lead the company, with 36 years of experience at SIG and having grown the U.S. business to the powerhouse that it is today."
"Mark Light has extensive experience with the company, and he has been instrumental in the recent success of the business... During his time at the helm, sales in the U.S. more than tripled, becoming the #1 specialty jeweler in the country. Earlier this year, he was promoted to President and COO of the entire company. given his extensive experience and success with the company, we are confident in his ability to lead the business."
"With business fundamentals remaining intact... we continue to view SIG shares very favorably. Reiterate Buy," Boruchow said./p>
Signet Jewelers, based in Hamilton, Bermuda, operates more than 1,400 stores in the U.S., primarily under the Kay Jewelers and Jared The Galleria of Jewelry brands. Signet's U.K. division operates about 500 stores under the brands H.Samuel and Ernest Jones. Signet's Zale division operates more than 1,600 locations in the U.S. and Canada, primarily under the brands Zales Jewelers, Peoples Jewellers and Piercing Pagoda.
Stitzer said of Barnes' resignation, "Mike has been the leader of the Signet executive management team during a period of outstanding transformation and growth. Since he joined Signet in 2010, Mike has been an instrumental part of Signet's success."
Signet Jewelers' outgoing CEO Michael Barnes
"He has played a critical role in Signet's recent acquisition of Zale Corporation and its continuing integration. He has also led the development of Signet's Vision 2020 Initiative for the future. We understand and respect his personal desire to relocate nearer to his family and pursue opportunities closer to his home in Dallas at this time. On behalf of Signet, I thank Mike for his many contributions to Signet and wish him well in his future endeavors."
Light said in the same written announcement, "I've enjoyed working closely with Mike Barnes to develop and implement successful strategies to accelerate the growth of Signet organically and through acquisitions. I am extremely pleased with the progress we are making integrating the Zale division, and I remain confident that we will achieve our three-year synergy expectations of $150 million to $175 million.
"More broadly, I'm honored to take the helm of this enterprise to move Signet forward as a leader in the retail jewelry industry, bringing ever greater innovation in products, store concepts, customer service and marketing as we continue to grow our market share. Our strategic planning, operational excellence, and superior collaboration executed by our industry-leading teams, will continue to drive our success into the future."
Barnes, who joined Signet on Jan. 30, 2011, had previously been president, chief operating officer and director of Fossil Inc. of Richardson, Texas.
"We are delighted to have recruited such a strong candidate as Mike to be Signet's CEO," Signet Chairman Sir Malcolm Williamson said at the time. "Mike is a seasoned and accomplished manager who with his strategic and attentive outlook to operational details brings valuable experience to Signet. He will be an able successor to [former CEO] Terry Burman."
Barnes said, "It has been a privilege to have the opportunity to lead the outstanding Signet team through a period of significant transformation. Over these several years, I've worked closely with Mark, collaborating with him on all of Signet's strategic initiatives, including the Zale acquisition and ongoing integration. I have every confidence in Mark and wish him success in his new role."