The TJX Companies Inc.'s board of directors has approved a CEO succession plan that calls for Ernie Herrman, 54, to succeed Carol Meyrowitz, 61, as CEO on Jan. 31, 2016.
Herrman will retain his current title as president of the company. Meyrowitz, current Chairman and CEO, will become executive chairman of the board at the time of the CEO transition. The board also elected Herrman a director of the company, effective immediately.
Meyrowitz has served as TJX CEO for nine years and presided over the
company's $200 million acquisition of Sierra Trading Post in December
2012. Sierra Trading Post, which specializes in selling
outdoor recreation products at discounts of up to 70 percent, has since
expanded from two to six retail locations, including its first stores in
Colorado, and broken ground on a major expansion of its headquarters and fulfillment center in Cheyenne, WY.
“Ernie Herrman’s proven, successful track record, leadership abilities, strategic vision, discipline and focus are all qualities that make him absolutely the right choice for CEO,” said Meyrowitz. “Ernie has decades of experience as an off-price merchant. He has been instrumental to our company’s success, including our continued international growth with our expansion into continental Europe, bringing Marshalls to Canada, and intent to acquire Trade Secret in Australia, in addition to developing our deep bench of off-price leaders and senior management. He will be a tremendous leader as we continue to drive the profitable growth of this company in the near and long term.”
“I am excited to work with Ernie Herrman in his new role and continuing our 20-plus years of working together at the company,” Meyrowitz said. “The Board and I could not be more convinced that Ernie is the right person to lead TJX into the future. As a nearly $30 billion company, we are confident that this structure allows us to continue to support and maximize the growth potential of TJX.”
Herrman said TJX is in an excellent position to surpass $40 billion in annual revenue.
“I look forward to continuing to work with Carol Meyrowitz, and am pleased that the company will continue to benefit from her expertise,” he said. “We have a highly talented management team and an organization that I believe is the best in the business. TJX is a great company, with Associates across the globe dedicated to our value mission, and, most importantly, a culture anchored by our integrity. I am excited and energized about the future as we continue to bring value around the world.”
Herrman has been president of TJX since January 2011. He has extensive leadership and off-price experience, having been with TJX since 1989. He was named senior executive VP, group president, in August 2008, with responsibilities for The Marmaxx Group, the company's largest division, HomeGoods and TJX Canada. Earlier in his career at TJX, Herrman succeeded Meyrowitz as president of The Marmaxx Group, serving in that role from January 2005 to August 2008. Herrman has also held various senior merchandising positions with TJX.
Under her new three-year agreement, in her role as executive chairman, Meyrowitz will remain an active executive and an integral part of TJX’s executive management team, and advise Herrman on the company’s long-term growth initiatives and strategy.