Note that JC Penney company (JCP. N), consumers: to meet the new boss. With his former club.
Struggles of department store chain, with the chief executive RON Johnson, who is not with his everyday low price strategy to win consumers and investors, and re-hire former CEO mike ullman parted ways to revive the company.
JC
Said William Frohnhoefer, an analyst with BTIG, although "some investors to bang the drum need to change and Johnson is no guy said, he believes that:" don't please ullman criticism of the company.
"Investors care about ullman," said Frohnhoefer, Penney sales gap ", on the basis of relative to other retailers, while he was at the helm."
Johnson, former chief apple's retail unit, trying to reverse Penney company department store and replace its traditional coupons and sales activities, everyday low prices. But sales fell 25% last year, the company must now attempt to attract customers, it lost.
Johnson's resignation have been circulating for months, but as a shocking thing, ullman returns to consider how to, he has denounced Penney company's largest shareholder, the hedge fund manager Bill Ackman leadership.
In May 2012 briefing Penney company, ackman of Pershing square is called "poor management" for a long time, and points out that Ullman, during the term of the fall of the stock. Its shares fell about 15%, and former CEO from 2005 to 2011. Nevertheless, ullman left, twice the share price is the price.
Penney company chairman Thomas angie said in a statement, ullman "positioning, analysis the situation quickly, and take measures to improve the company's performance."
At least one retail experts say, ullman returns could herald a retailer's sales.
"Ullman... he didn't really go out on the wings of the glory and now they bring the guy back?, managing director and head of retail group, said:" to be honest, I don't think people want to work, Brian macguff Hedgeye risk management.
"The only reason why I named chief executive of ullman was actually a temporary solution, only because he didn't know so many people inside the company, they have their faith, he can calm water, he can help to sell the lipstick pig," McGaugh said.
"Disaster"
Johnson was originally seen as such a positive change, from ullman, shares rose nearly 18%, one day in June 2011 he announced the hiring. But sales fell 25% in the first year of his plan, to reshape the department store.
? $15.12 in after-hours trading, JC Penney company, has the close of regular trading up 2.7%, year-on-year decline in 4.7% of the shares.
Ackman last week - carefully selected Johnson led the company's chief executive, said it had made "big mistakes", the impact of these mistakes have been "very close" disaster retailers.
The company is now back to the old pricing strategy, try to bring to consumers. Executives admit that their first challenge is to let the chain of the old customer back to the store.
Ullman's base salary was $1 million, less than $1.5 million a year, Johnson received. The company said it was not signed an employment agreement with him.
Johnson, said last week, penny, no retailer's weak stock incentives or bonus after 2012 results. The company also said it was Johnson will receive less than $150000 export package, if he resign or be dismissed.
"The positive thing is that (ullman) know that companies and organizations - not someone trying to learn it from scratch - but he is also the one who left Penney company, in this case, who took it to a little, they feel they need a whole new way," Casey said, Kurt international strategy consultant, co-founder of Gersch.
"The risk is that they are correct and RON throw out everything."



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