I like this from an article in the Sacramento Bee:
Hanrahan earlier held executive positions at Royal Caribbean International, Polaroid Corp. and Reebok International. Earlier in his career, he also worked at Nestle Foods, Texas Instruments and Gallo Winery.
The past year has been no cruise ship for Regis, marked by declining sales, layoffs at its Edina headquarters, asset sales, and especially, turmoil in the boardroom.
Last fall an activist hedge fund waged and won a proxy fight to defeat three existing Regis directors and install their own slate. The retirement of its incoming CEO soon followed.
Hanrahan said he was "pleased to be joining Regis during this exciting time in its history." In a statement, he noted Regis' strengths, including its "market leading position in the hair care industry."
An activist hedge fund? Wow, what is he walking in to? It gets worse...
From last February ...
Last fall, Starboard Value LP, a New York-based hedge fund, successfully placed three candidates on Regis' board of directors, promising investors that it would cut costs and restore growth. The firm estimated the North American salon business accounted for nearly 40 percent of Regis' $310 million in general administrative costs last year.
The company recently laid off 110 employees, or 10 percent of its corporate staff.
Over the years, Regis had acquired dozens of regional brands that boosted annual sales. But Regis often operated each brand as its own company, resulting in a confusing hodgepodge of overlapping businesses, analysts say.
"It appears that the subsequent post-merger integration process may have failed to consolidate the numerous brands ... necessary to achieve [cost] benefits," James Miller, an analyst at Institutional Shareholder Services, wrote in a report.
Worse yet, the brands looked exactly the same to the customer, Bakken said.
Brand trimming alone won't get the job done, officials say. Regis desperately needs to start growing sales again.
Increasingly buffeted by competition from chains like Fantastic Sams and Great Clips, Regis' same-store sales have fallen for 14 consecutive quarters, a trend that's likely to continue for the foreseeable future. Regis already expects same-store sales to decline between 2.5 percent and 3.5 percent in fiscal 2012.
Ideally, Regis would like same-store sales to rise from 2 to 4 percent, said Fosland, Regis' finance executive.
"We're not like Apple," he said. Same-store sales are "never going to hit 10 percent. Our industry is glacial."
And from yesterday... (july 10, 2012)
Regis Corp., the troubled hair salon firm, had small declines in fourth-quarter and fiscal year sales. A full report is due in August.
- Struggling hair salon chain Regis Corp. announced its fourth-quarter revenue early, reporting Tuesday a 4 percent decline in sales to $568.1 million. Sales for the year declined 2.2 percent to $2.27 billion.
It was the 16th consecutive quarter in which same-store sales declined. They dropped 3 percent in the fourth quarter compared with a year ago.
Earnings for Edina-based Regis won't be disclosed until the regularly scheduled fourth-quarter report on Aug. 23.
Regis' same-store sales trends improved slightly over the third quarter, said Eric Bakken, the interim CEO. The firm also underwent a restructuring in the quarter that divided the business into four consumer segments.
"Meaningful change is underway at Regis, and, as we look forward to fiscal 2013, we expect these changes will drive improvement in our same-store sales results," Bakken said in a statement.
Regis has already undergone a whirlwind of changes, including the departure of former CEO Paul Finkelstein in February after pressure from an activist hedge fund. Bakken, the executive vice president and general counsel, was named interim CEO while the company searched for a permanent replacement. In April, Regis reported a $1.4 million loss for the third quarter, an improvement over the $57.4 million loss in the second quarter.
Dan, me boy - what haive vee gotten yurselv inta nae????