Mattress Tub & Past has named its Chief Accounting Officer, Laura Crossen, as interim chief monetary officer following the demise of Gustavo Arnal.
The house items retailer mentioned in a regulatory submitting that Crossen will proceed as its principal accounting officer whereas serving within the interim position.
Crossen’s base wage was raised by $200,000 and the compensation committee elevated her goal annual bonus alternative to 70% of her modified base wage. The submitting mentioned the changes will solely be efficient for the interval she serves as interim CFO.
Arnal died on Friday. Based on the New York Metropolis Police Division, police discovered the 52-year-old unconscious with accidents exhibiting he fell from the 57-story Jenga residential tower in Manhattan. The medical expert’s workplace dominated the 52-year-old Arnal’s demise a suicide, and police mentioned an investigation was underway.
Arnal was dealing with a lawsuit accusing him of collaborating in a scheme to inflate the corporate’s inventory worth to promote shares for an enormous revenue.
The information of Arnal’s demise got here simply days after Mattress Tub & Past mentioned that it will shut shops and lay off employees in a bid to show round its beleaguered enterprise.
The chain, primarily based in Union, New Jersey, is seeking to shut about 150 of its namesake shops and slash its workforce by 20%.
Preliminary figures for the quarter ended Aug. 27 present that Mattress Tub & Past’s gross sales have been $1.45 billion, a drop of 26% from the identical interval final 12 months. It burned by $325 million in money through the quarter.
The retailer ousted its earlier CEO, former Goal govt Mark Tritton, in June. Final month, it introduced that the chief working officer and chief shops officer had left. The corporate is being led by an interim CEO, board member and retail marketing consultant Sue Gove, whereas a search agency seems for a everlasting chief.
Arnal joined the corporate in Might 2020 after holding senior govt jobs at Avon, Walgreens Boots Alliance and Procter & Gamble.
The corporate mentioned in a submitting in August that Arnal offered about 55,000 shares for $1.4 million in six separate transactions that also left him with greater than 255,000 shares.
On Aug. 23, an investor from suburban Washington filed a lawsuit in opposition to Arnal, activist investor Ryan Cohen, Mattress Tub & Past and its bankers. The lawsuit, which seeks class-action standing, accuses Arnal and Cohen of conspiring since March in a “pump and dump” scheme to spice up the worth of Mattress Tub & Past shares. It accused Cohen of creating a false submitting and manipulating the timing of exposing the sale of most of his inventory.
Mattress Tub & Past mentioned it’s within the early phases of evaluating the criticism, “however primarily based on present data the corporate believes the claims are with out benefit.”
Shares of the corporate fell 15% in morning buying and selling, to $7.32.
The nationwide suicide and disaster lifeline is on the market by calling or texting 988. There may be additionally a web-based chat at 988lifeline.org.
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Enterprise Author David Koenig contributed to this report.
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