Saying Christopher & Banks has "clearly lost direction," longtime board member Larry Barenbaum officially took over as president and CEO Monday and pledged to bring the Plymouth-based retailer back to profitability.
Barenbaum, 63, has been serving as interim CEO since Oct. 19, when Lorna Nagler left the company after a three-year tenure.
"We have a loyal customer base," Barenbaum said in a phone interview while attending the ICR investor conference in Dana Point, Calif. "Our biggest challenge is to bring her [the customer] back. We need to give her the style she's looking for. It's not that complicated."
Wall Street welcomed the decision to keep Barenbaum on, as shares finished the day up about 2.4 percent, at $5.94.
Christopher & Banks is a chain of 788 specialty stores that includes the Christopher & Banks brand, plus-sized CJ Banks, two dual-concept stores and outlets. It has been struggling through the recession, losing sales to Dress Barn, Chico's and other retailers that cater to baby boomers.
The retailer posted a 19 percent drop in profits during the third quarter and swung to a net loss of $9.2 million compared to a profit of $6.9 million a year earlier.
Barenbaum earlier rehired Jules Rouse as his chief merchandiser and said customers will notice the impact by late summer with a more "customized style, fit and quality." Rouse worked at Christopher & Banks from 1995 to 2008. The retailer will continue to emphasize its growing online site and will expand its line of jewelry and accessories, added to stores only in the last year.
Barenbaum has been a member of the company's board of directors since 1992 and became chair in 2005. James Fuld, Jr., a board member for 25 years, will take over the chairman's role, the company announced.
