Lululemon Athletica Inc. (LULU) founder Chip Wilson voted against the re-election of Michael Casey, who succeeded him as the retailer’s chairman, saying the board has been too concerned with short-term results.
Wilson, who owns 27 percent of Lululemon’s shares, said in a statement today that he also voted against re-electing director RoAnn Costin, a financial investing executive who has served on the board since 2007.
“I have found a palpable imbalance in board representation, which is heavily weighted towards short-term results at the expense of product, culture and brand and longer-term corporate goals,” Wilson said.
The votes indicate that Wilson, who founded Lululemon in 1998, hasn’t been pleased with moves the company has made since he said in December that he would relinquish the chairman role. Lululemon named former TOMS Shoes Inc. President Laurent Potdevin as chief executive officer in January and has been working to regain shoppers’ loyalty after recalling one of its most popular styles of pants last year.
“The Lululemon board of directors and management team have been consistently focused on enhancing shareholder value and will continue to take actions to achieve this objective,” the company said today in a statement. “Contrary to Mr. Wilson’s assertions, Lululemon’s board members are aligned with the company’s core values and possess the necessary expertise to successfully lead Lululemon forward.” Continue reading >>