#1 Denies Chairman of the Finance committee full access to financial info
#2 Terminated independent board advisors without the board's knowledge or consent
#3 CEO hires his new Board advisors
#4 Terminates Marketing consultant without the board's consent
#5 Hires a friend of a Director from Kraft Foods as our new CMO without full Board consent
#6 Makes a member of the merchant team head of real estate and construction. No background in field.
#7 Mislead analysts he was hired back as our long term CEO. Board agreed it was interim upon his rehire.
#8 Presents financial projections at board meetings, but claims they are not his numbers.
#9 Large vendor of our company concerned we are placing too many orders.
#10 Overly optimistic Mike filling the stockrooms again.
Hmmm.....sounds like Ackman. NO experience in retail but he'll throw billions away trying to make a company change to whatever he desires. Totally berates anyone who crosses him or his way of thinking. If he doesn't get his way, he goes public and ends up looking like a bigger fool than before. Brings in the retail genius Ron Johnson who totally destroys the JCPenney Company and thousands of former JCPenney associates lives because of his idiocracy! All because he wants to change the world! Obviously the world isn't ready for a Johnson/Ackman change!
Penneyman...Go crawl back under the stairs. Momma will call you when the porridge is ready...
I think Ackman should have lost his Chairman of the Finance committee seat after he and RJ spent 900 million in 2011 on the share buyback, only to screw shareholders out of their dividend after April 2012. That money would come in handy right now!
Does This Sound Like A Good CEO For The Future Of JCPenney
I'll take him over the one that referred to his customers as "Blue haired behemoth dregs" - stressing the need to get rid of all those old "fuddy duddy" customers and go with the "newer, hipper, more stylish" ones.
Seems Wall Street doesn't much care for Ullman either. Neither did the board when they voted him out. Escalating markdowns, loss of market share, but perhaps the #1 reason he was shown the door was he strayed too far from Mr. Penney's ideals. Mr. Penney would have never allowed his stores to profit from deceitful sale tactics. What's lost in all of this is Mr. Penney himself would have severed his ties with the company he founded and demanded the name change before he'd let profiteers ruin his company.
Dignity and transparency in the way you do business is how Mr. Penney operated. With Ullman hired back the MSRP sham was exposed. We all know MSRP was a vehicle used by unscrupulous retailers in a deal with suppliers to enhance a fictitious regular price. The term regular price was scraped for the new term "orig" price for legal reasons.
Then Mr. Ullman brought us coupons and the little fine print underneath those coupons that excludes the things customers are mostly after. Get the customers in the store, make them wait at the checkout while the associate figures out what works and doesn't work, then make her mad when she finds out the coupon is not good on Levis or small electrics. I know, I know, as long as it made a profit it was all good right? Everybody does it this way so it makes it okay.
It will be truly interesting to see who we come up with as our new CEO. Remember my post from last week " Does Anyboby Remember The Year 2000? I posted on Wed. What happened on Thurs you freaks?
It wasn't me that got Ullman fired the first time. It was his merchandising ways. Managers across the company complained about stockrooms of inventory that never saw the sales floor until they were marked down. Countless corporate visits to stores revealed an ever growing problem of merchandise crammed into every open space "off the floor". Local fire depts. fined JCPenney for OSHA standards. Merchandise in fire escape stairwells. Boxes of freight stored in manager offices and meeting rooms.
That's what BOGO1 free or BOGO 50% off does for you. Makes you buy double the inventory to support projected sales. The buying team under Ullman was following orders.