Burberry names Gobbetti as next chief executive

London / AFP

Burberry appointed Celine chairman Marco Gobbetti as its next chief executive, replacing Christopher Bailey who will become the British luxury fashion group’s new president.
Gobbetti, currently the chairman and chief executive of French luxury brand Celine, will join the board in 2017 “as soon as he is contractually able to do so”, Burberry said in a recent statement.
Burberry announced a fall in annual net profits in May, triggering a three-year programme of cost savings totalling at least £100 million ($130 million, 117 million euros).
“Marco brings incredible experience and skills in luxury and retail with him that will be invaluable to us,” said Bailey, who has been chief executive since 2014 and chief creative officer for six years.
When Gobbetti comes in, Bailey will take on the new role of president as well as chief creative officer, “overseeing all elements of brand and design” and working with Gobbetti on “company strategy and culture”, Burberry said.
Burberry chairman John Peace said: “I am delighted that Marco will be joining us to work alongside Christopher in his new role as we embark upon the next chapter in our 160-year-old success story.”
Burberry shares rose 4.2 percent to 1.211 pence on Monday.
Gobbetti’s base pay will be £1.1 million per year, with an annual bonus opportunity of up to 200 percent of salary.
He may also receive up to 325 percent of salary in shares.
Burberry Group Inc is a British luxury fashion house, headquartered in London, England. Its main fashion house focusses on and distributes ready-to-wear outerwear, fashion accessories, fragrances, sunglasses, and cosmetics.
Its distinctive check pattern has become one of its most widely copied trademarks. Burberry is most famous for its trench coat. It has branded stores and franchises around the world and sells through concessions in third-party stores. Queen Elizabeth II and the Prince of Wales have granted the company Royal Warrants, which have been maintained despite Burberry’s closure of its factory in Wales.