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Current Events & Hot Topics Current Events & Hot Topics

Lululemon exec leaves after see-through pants flap

Posted by on Apr. 5, 2013 at 7:53 AM
  • 7 Replies

 

After Lululemon see-through pants fiasco, exec departs

Clothing made by Lululemon Athletica Inc. is on display for sale in Pasadena, Calif. in this March file photo.

Kevork Djansezian / Getty Images file

Clothing made by Lululemon Athletica Inc. is on display for sale in Pasadena, Calif. in this March file photo.

Lululemon said Wednesday that its chief product officer is stepping down, as it updated the production problems it has had with see-through pants.

The Canadian yoga wear maker said Sheree Waterson will leave effective April 15.

In a statement, the company said the departure was part of a plan to reorganize its product team to support long-term growth. It wouldn't comment specifically if the departure was related to the pants problem.

"As the organization matures organizational structure changes are often required," the company said in an email response to a query.

Lululemon late last month pulled its Luon pants from store shelves because the fabric was too sheer. On Wednesday the company said after evaluating its production issues, it found the problem stemmed from incomplete testing protocols combined with a style change in the pants pattern. Lululemon hired a new team, including senior level positions in quality, raw materials, and production, to look into the problem and oversee production of the Luon pants, which cost $72 to $98.

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Luon pants, made from a combination of nylon and Lycra fibers, are one of the retailer's product staples and account for about 17 percent of all women's pants in its stores. The company is offering customers full refunds or exchanges Lululemon did not say when it expects Luon pants to be back on shelves.

CEO Christine Day said the company stands by the outlook it offered on March 21 during an earnings report that came after the pants problem arose.

At that time, the company said withdrawing Luons will cut its revenue by $12 million to $17 million in the first quarter and by $45 million to $50 million for the rest of the year, particularly in the second quarter. It also said it expects first-quarter earnings of 28 to 30 cents per share. It reported earnings of 32 cents per share a year ago. The company expects the recall will pull its earnings down by 11 to 12 cents per share.

Analysts expect earnings of 29 cents per share on revenue of $339.7 million, according to FactSet.

by on Apr. 5, 2013 at 7:53 AM
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Replies (1-7):
momtoscott
by Platinum Member on Apr. 5, 2013 at 8:36 AM

I would imagine there are more problems there than see-through fabric, if she's stepping down.  

Why people spend the $$ on Lululemon for exercise clothes is a mystery to me.  I don't shop there--a store that's too hip to put its name on the sign outside is too foofy for me.  

rotPferd
by Silver Member on Apr. 5, 2013 at 8:41 AM

 They were making fun of these pants on TMZ last night cuz "big girls" are wearing them...ewww

NWP
by guerrilla girl on Apr. 5, 2013 at 9:53 AM

LOL that's funny. If you are ever in NYC, just try to find the Hudson Hotel. :)

Quoting momtoscott:

I would imagine there are more problems there than see-through fabric, if she's stepping down.  

Why people spend the $$ on Lululemon for exercise clothes is a mystery to me.  I don't shop there--a store that's too hip to put its name on the sign outside is too foofy for me.  


Neon Washable Paint

jamamama00
by on Apr. 5, 2013 at 9:55 AM

Maybe the  next exec wont be a dick who refuses to make pants beyond sz 10/12

SuperChicken
by on Apr. 5, 2013 at 10:09 AM

I LOVE lululemon.   They are my go to store for comfy pants, and I think the price is easily worth it.  They hold their shape forever, and they fit great.   I've tried cheap yoga pants, and cheap is what you get.

frogbender
by Captain Underpants on Apr. 5, 2013 at 10:20 AM
2 moms liked this

"see-through pants flap"

I am now thoroughly disappointed by this blatant false advertising. It was not what I was expecting.


krysstizzle
by DeepThought on Apr. 5, 2013 at 10:51 AM
They must have been incredibly sheer to cause a fuss, because I see way too many people at the gym and in classes that didn't do a "bend over and look at my ass on the mirror over my shoulder" check; they can't all be wearing lululemon.

$100 for yoga pants? Eeek. I found a good thing with $13 spalding pants; they last forever, no weird fitting front, and I definitely did the ass check.
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