Chuck Rubin to Step Down
Company Announces Fourth Quarter Comparable Store Sales and Total
Sales; Reaffirms Earnings Per Share Guidance
BOLINGBROOK, Ill.--(BUSINESS WIRE)--Feb. 14, 2013--
Ulta Beauty (NASDAQ: ULTA) (the “Company”) today announced that Chuck
Rubin will step down as President and Chief Executive Officer and as a
director, effective February 21, 2013, to become Chief Executive Officer
at Michaels Stores, Inc., a specialty retailer of arts and crafts. The
Board of Directors has appointed Dennis K. Eck, current Non-Executive
Chairman of the Board of Directors, as Interim Chief Executive Officer.
Mr. Rubin has agreed to assist the Company during the transition period.
Ulta Beauty noted that Mr. Rubin’s departure from the Company is not
related to any disputes with management or the Board of Directors, the
Company’s operational performance, financial condition or issues
regarding the integrity of the Company’s financial statements or
accounting policies and practices.
“My choice to pursue an opportunity at another company was not easy, but
I believe it is the right decision for me and my family,” said Mr.
Rubin. “I have very much enjoyed my tenure as President and CEO at Ulta
Beauty, working alongside some of the industry’s finest talent. I am
proud of what we have accomplished together and am confident that the
Company will continue to drive value creation for shareholders and other
important stakeholders through the execution of its growth strategy.”
The Board of Directors has formed a search committee comprising Mr. Eck,
Robert R. DiRomualdo, Charles Heilbronn, and Kenneth T. Stevens. The
committee has begun a search to identify a permanent CEO and is in the
process of retaining a leading executive recruiting firm to advise the
Board.
“Ulta Beauty’s Board is committed to conducting a thorough and
comprehensive search to identify the best candidate to serve as our next
CEO,” said Dennis Eck, Ulta Beauty’s Interim Chief Executive Officer and
Non-Executive Chairman of the Board. “On behalf of the Board, I would
like to thank Chuck for his service to the Company. Chuck has been a
valuable member of our Board and leadership team and we wish him the
very best in his future endeavors.”
“Ulta Beauty has delivered exceptional sales growth and operating margin
improvement through the successful execution of our multi-year growth
strategy,” continued Mr. Eck. “With a strong management team, a deep
bench of talent throughout the Company and the support of our Board, we
will continue to build on the positive momentum of our business with a
strong focus on executing our strategy. Having served as a member of the
Ulta Beauty Board since 2003, I have worked closely with management to
develop our current strategy and am confident in our collective ability
to lead the Company forward during this transition period.”
Company Announces Fourth Quarter Comparable Store Sales and Total
Sales and Reaffirms EPS Guidance
The Company announced that fourth quarter fiscal 2012 total sales
increased 30% to $757 million and comparable store sales increased 8%.
The Company is reaffirming its guidance for income per diluted share for
the fourth quarter of fiscal 2012 to be in the range of $0.96 to $0.98.
This compares to income per diluted share for the fourth quarter of 2011
of $0.73.
About Dennis K. Eck
Mr. Eck has served as Non-Executive Chairman of the Board of Directors
and a director of Ulta Beauty since 2003. Prior to that, Mr. Eck served
in various executive roles with Coles Myer, one of Australia’s largest
retailers, from 1994 to 2001 where he was Chief Executive Officer and a
member of the board of Coles Myer LTD Australia from November 1997 to
September 2001. Prior to 1994, Mr. Eck served in various executive roles
with Vons Companies, Inc. and American Stores, Inc.
About Ulta Beauty
Ulta Beauty is the largest beauty retailer that provides one-stop
shopping for prestige, mass and salon products and salon services in the
United States. Ulta Beauty provides affordable indulgence to its
customers by combining unmatched product breadth, value and convenience
with the distinctive environment and experience of a specialty retailer.
Ulta Beauty offers a unique combination of over 20,000 prestige and mass
beauty products across the categories of cosmetics, fragrance, haircare,
skincare, bath and body products and salon styling tools, as well as
salon haircare products. Ulta Beauty also offers a full-service salon in
all of its stores. As of December 29, 2012, Ulta Beauty operates 550
retail stores across 45 states and also distributes its products through
the Company’s website: www.ulta.com.
Forward Looking Statements-Safe Harbor
This press release contains “forward-looking statements” within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended, and the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995, which reflect our current views with
respect to, among other things, future events and financial performance.
You can identify these forward-looking statements by the use of
forward-looking words such as “outlook,” “believes,” “expects,” “plans,”
“estimates,” or other comparable words. Any forward-looking statements
contained in this press release are based upon our historical
performance and on current plans, estimates and expectations. The
inclusion of this forward-looking information should not be regarded as
a representation by us or any other person that the future plans,
estimates or expectations contemplated by us will be achieved. Such
forward-looking statements are subject to various risks and
uncertainties, which include, without limitation: the impact of weakness
in the economy; changes in the overall level of consumer spending;
changes in the wholesale cost of our products; the possibility that we
may be unable to compete effectively in our highly competitive markets;
the possibility that our continued opening of new stores could strain
our resources and have a material adverse effect on our business and
financial performance; the possibility that new store openings and
existing locations may be impacted by developer or co-tenant issues; the
possibility that the capacity of our distribution and order fulfillment
infrastructure may not be adequate to support our recent growth and
expected future growth plans; the possibility of material disruptions to
our information systems; weather conditions that could negatively impact
sales; our ability to attract and retain key executive personnel; and
other risk factors detailed in our public filings with the Securities
and Exchange Commission (SEC), including risk factors contained in our
Annual Report on Form 10-K for the fiscal year ended January 28, 2012.
Our filings with the SEC are available at www.sec.gov.
The Company does not undertake to publicly update or revise its
forward-looking statements, whether as a result of new information,
future events or otherwise.
Source: Ulta Beauty
Ulta Beauty
Scott Settersten, 630-410-4807
Chief Financial
Officer
Laurel Lefebvre, 630-410-5230
Vice President, Investor
Relations