Heather Reisman has returned to helm Indigo Books and Music Inc., the company she founded, amid a series of executive shakeups and recent setbacks for the retailer.
The company said Monday that Reisman is back as CEO after outgoing chief executive Peter Ruis announced his departure a couple of weeks ago. Andrea Limbardi, Indigo’s former president and a two-decade veteran of the company, also left around that time.
Ruis took over the leadership role from Reisman a little over a year ago. Reisman had been orchestrating an exit from the company, stepping down as CEO at that time and retiring as chairperson of the board of directors on Aug. 22.
She will return to the board, Indigo announced Monday.
Indigo’s sales have taken a hit in recent months amid aftershocks from a ransomware attack in the spring and signs of a slowdown in consumer spending.
“There is a clear path for Indigo to regain its momentum,” Reisman said in a statement on Monday.
“I love this company and its mission. Even more, I care deeply about our people, who have given so much to build this incredible company over more than two and a half decades. I know that together we will return Indigo to growth and profitability.”
Retail analyst Bruce Winder spoke to Global News last week about the shakeups within Indigo’s executive ranks, which he said made it look from the outside like the company was in a “chaotic state.”
“This sends the signal that the company is in turmoil right now. And I think someone has to take control of it and sort of settle everyone down,” he said.
To that end, Winder said last week that he wouldn’t be surprised to see Reisman step back into the CEO role as the steady hand to guide Indigo.
He compared the situation at Indigo to former Starbucks CEO Howard Schultz, who stepped down and returned to helm the company twice in its history.
“That’s a very classic tale of, the CEO leaves and then crisis occurs and they come back,” he said.
Winder and other retail analysts who spoke to Global News are projecting a slowdown in consumer spending to continue this fall as higher interest rates bite on Canadian households. That leaves retailers like Indigo, which Winder classifies as “discretionary spending,” at risk of depressed sales in the months to come.
Also adding roles on Monday is Craig Loudon, who in addition to acting as chief financial officer will also serve as Indigo’s chief operating officer.
Markus Dohle will move to chair the board of directors, which will expand to include Eilieen Naughton, former chief people officer at Google.
Four board members resigned from Indigo in June, with director Chika Stacy Oriuwa’s departure attributed to a “loss of confidence in board leadership” and “mistreatment.”
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