By Victor Swezey
Petco Health and Wellness named Joel Anderson as its next chief executive, joining a remade executive team and board four months after former CEO Ron Coughlin stepped down from the pet-products retailer.
Anderson, 59, stepped down as CEO of Five Below on Tuesday after about a decade at the company. He had previously served as CEO of Walmart's online business unit.
He is joining Petco, effective July 29, after several executive and board changes at the company since his predecessor left.
In May, Petco named Glenn Murphy, a former executive at Gap and Lululemon Athletica, as executive chairman of the board. The company shortly after that said that its heads of merchandising and operations would leave, with the chief operating officer's role eliminated.
As part of Anderson's appointment, Petco's interim CEO R. Michael Mohan, who had been the company's lead independent director, will transition to a new role leading a board committee focused on value creation.
Anderson will receive an annual base salary of $1.3 million, with a target annual bonus of 150% of his base salary, according to a filing with the Securities and Exchange Commission. He will also be provided with equity awards including $10 million in stock units and $5 million in stock options intended to make him whole for compensation he forfeited at Five Below, as well as additional benefits.
Anderson left Five Below as the discount retailer had been struggling with its core low-income shopper pinched by years of inflationary pressures, prompting the chain to cut its quarterly sales outlook on Tuesday.
Petco in May posted lower sales in its first quarter, saying that growth in its consumables and services and other business was offset by a decline in its supplies and companion animal business.
Write to Victor Swezey at victor.swezey@wsj.com; @vicswezey
(END) Dow Jones Newswires
07-17-24 1826ET
