Victoria's Secret & Co. is poaching the top executive from Rihanna's lingerie brand to lead the retailer's turnaround.
Hillary Super, 52, will replace Martin Waters, who was terminated as CEO and resigned from the board, as chief executive officer and a member of the board, the company said in a statement. Tim Johnson, the chain's chief financial and administrative officer, will be the interim CEO until Super joins the company on Sept. 9.
Shares in the company jumped 15% on the news in premarket trading. The shares were down 28% so far this year as of Tuesday's close, compared to a 2% rise in the S&P Small Cap 600 Index.
Victoria's Secret has been struggling for years, dogged by waning demand, increased competition from upstart lingerie brands such as singer Rihanna's Savage X Fenty and allegations of workplace misconduct. In March, the company's shares plunged after its annual sales guidance trailed expectations.
Super will be Victoria's Secret third leader in four years "and its second CEO since it was spun out of L Brands" and brings nearly three decades of experience in retail. She led the Anthropologie apparel chain "Urban Outfitters' biggest brand " for four years before becoming CEO of Savage X Fenty in June of last year, according to her LinkedIn page. The company said Super will get a $1.2 million base salary and a $1 million signing bonus, as well as additional annual incentive compensation of up to $2.1 million and other equity awards.
"We are particularly impressed with her merchant leadership capabilities," Donna James, chair of the retailer's board, said in the statement. And she has "an intuitive understanding of the consumer landscape."
Waters, 58, became the CEO of Victoria's Secret in February 2021 when it was part of L Brands. The unit then got spun out into its own public company in August 2021.
It hasn't been a good ride for investors: The stock is down more than half since its debut.
The company also announced preliminary results for the second quarter, which ended Aug. 3. The retailer expects sales to be down as much as 2%, compared to previous guidance for a decline of as much as 3%. Adjusted diluted earnings per share are also expected to be higher than anticipated.
