
The Leadership Gap: Why Companies Struggle to Retain Top Executives
Companies invest millions in leadership development, yet many of their best executives leave within a few years. Why?
June 17, 2022: -On Wednesday, Cosmetics company Revlon filed for Chapter 11 bankruptcy protection as it grappled with a cumbersome debt load and a snarled supply chain.
The company expects to obtain $575 million in debtor-in-possession financing from its existing lender base, which will help support its operations.
The filing “will allow Revlon to offer our consumers the iconic products we have delivered for decades while it delivers a clearer path for our future growth,” Revlon President and Chief Executive Officer Debra Perelman said on Thursday.
“Our challenging capital structure has limited our ability to navigate macro-economic issues to meet this demand,” Perelman added.
Revlon’s bankruptcy filing said the company cannot timely fill almost one-third of customer orders for its products because of an inability to source a “sufficient and regular supply of raw materials.” It said that shipping components from China to the United States takes Revlon eight to 12 weeks and costs four times 2019 prices.
Revlon is the first primary consumer-facing business to file for bankruptcy protection in what has been a years-long pause of distress in the retail sector. Over three dozen retailers filed for bankruptcy in 2020, which marks an 11-year high, which experts say was an extensive and Covid pandemic-driven pull-forward of restructuring activity.
Through May 31, S&P Global Market Intelligence tracked 143 bankruptcies across all industries, which is the slowest speed since at least 2010. It said that S&P only followed three retail bankruptcy filings over the same period, the lowest count in at least 12 years.
However, as inflation and interest rates rise and consumers begin to pull back spending on discretionary items, experts predict that more retail companies will be pressured to restructure. Many of these businesses grapple with ongoing supply chain challenges that leave them with the wrong inventories.
The nail polish and lipstick, controlled by billionaire Ron Perelman’s MacAndrews & Forbes, listing assets and liabilities amid $1 billion and $10 billion, according to a filing with the U.S. Bankruptcy Court for the Southern District of New York.
A securities filing shows that Revlon had long-term debt of $3.31 billion as of March 31. The company’s market cap was $123 million as of the close of trading Wednesday. Trading of Revlon shares was halted in the premarket session on Thursday.
Companies invest millions in leadership development, yet many of their best executives leave within a few years. Why?
The most successful business leaders don’t just identify gaps in the market; they anticipate future needs before anyone else.
With technological advancements, shifting consumer expectations, and global interconnectedness, the role of business leaders
The leadership landscape is profoundly changing, influenced by technological advancements, shifting workforce expectations, and the need for adaptability in an unpredictable global environment.
In the fast-paced business world, corporate leaders often find themselves at the crossroads of risk and reward, where bold decisions …
Corporate leaders often navigate turbulent waters where failure is not just a possibility but an inevitable part of the journey …
February 12, 2025: Donald Trump has announced a 25% tariff on all steel and aluminum imports, reigniting trade tensions between the US and its key partners
February 11, 2025: The European Union is preparing retaliatory tariffs against the United States in response to newly imposed 25% U.S.
February 06, 2025: California and Texas are experiencing extreme weather, bringing widespread disruptions and safety concerns.
February 04, 2025: The trial of Joël Le Scouarnec, a former French surgeon accused of sexually abusing hundreds of children
Leave us a message
Subscribe
Fill the form our team will contact you
Advertise with us
Fill the form our team will contact you