Shoe Company Announces Quarterly Loss, CEO’s Resignation
ORANGE, Calif. (AP) _ Vans Inc., the only major shoe company that still makes its products in the United States, has announced the resignation of its top executive and its biggest quarterly loss as a public company.
Chief Executive Officer Richard Leeuwenburg will leave April 8 to ″pursue other interests,″ the company said Friday. Leeuwenburg could not immediately be reached for comment.
In addition, the company said it lost $2.4 million, or 25 cents per share, in the three months ended Feb. 28, Vans’ fiscal third-quarter. The loss, which came on sales of $18.2 million, was the company’s biggest since it went public two years ago.
In the same period a year ago, Vans earned $1.5 million, or 15 cents a share, on sales of $19.7 million.
Vans’ stock fell $2.25 to $6.87 1/2 in over-the-counter trading after the announcements Friday.
Sales of Vans’ canvas-and-rubber sneakers, a favorite among youth and skateboarders in particular, have slowed in the past year.
The company blamed the sales drop on the California recession.
William Schoenfeld, Vans’ vice chairman, will assume Leeuwenburg’s duties until a successor is named.