Nike Seeks to Wipe Slate Clean for New CEO, Withdraws Guidance.

NIKE Inc. 050957364 NKE

Nike Inc. has withdrawn its full-year sales guidance and postponed its investor day in preparation for the arrival of new CEO Elliott Hill. Investors are looking to Hill to rebuild relationships with retailers, inspire staff, and accelerate the development of new products. Sales in the first quarter fell 10%, with declines in North America, Europe, Africa, and the Middle East. Nike expects revenue to fall 8-10% in the second quarter before improving later in the year. Hill, a Nike veteran, will take over as CEO on October 14, replacing John Donahoe. Nike is also focusing on performance sneakers and apparel, renewing its focus on soccer, fitness, and running. The company has been criticized for neglecting runners, and it is working to win back their market share. Nike executives have been meeting with retail partners and investing in their shops to regain their confidence. Despite the challenges, Nike remains committed to learning, adjusting, and improving. [Extracted from the article]

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