Wolverine World Wide accelerates, expandeds transformation effort

“We are moving with speed and urgency to transform the company, which will enable us to capitalize on our biggest growth opportunities,” said Chris Hufnagel, President and CEO. “We are taking decisive steps to stabilize the business by divesting non-core assets, paying down debt, reducing inventory, and right-sizing our cost structure. At the same time, we are redesigning the organization to become great global brand builders.” To help stabilize the business, enhance financial performance, and provide future investment capacity for Wolverine Worldwide’s strategic growth brands, the Company has accelerated and expanded its transformation effort and the work of the Profit Improvement Office. To date, the Company has identified initiatives that are expected to deliver $215 million in annualized savings, including a global workforce restructuring. Key changes made by the Company in connection with redesigning the organization include: “The Collective” – a new strategic center of excellence that includes a reimagined innovation, insights, and trends team; an internal creative and public relations team; and an in-house creative production studio. Global Licensing – a new global licensing function to unlock the portfolio’s full commercial opportunity around the world. This team will oversee and manage all the Company’s licensed businesses, including Hush Puppies and Stride Rite, along with apparel and accessories programs. Integrated Planning – a new global planning function designed to meaningfully improve integrated demand, inventory, and supply chain management, while enhancing the Company’s ability to respond to shifts in consumer and market dynamics. Product Lifecycle Management & Digital Product Design – a new set of advanced digital product management, design, and development tools which will further enhance the Company’s product capabilities and efficiencies. North American Commercial Structure – a consolidated North American commercial structure, aligning the Company’s Canadian operations with those in the United States to drive efficiency and alignment.