Bon-Ton chief executive Bufano to step down in August
Struggling department store operator Bon-Ton Stores Inc. said Monday that Chief Executive Officer Kathryn Bufano, brought in less than three years ago to lead the company, would step down in August and be succeeded by Bon-Ton’s chief operating officer.
William Tracy will become president and CEO of Bon-Ton, which is the parent company of Boston Store, Younkers and other department stores, when Bufano’s contract expires Aug. 25.
Tracy will become BonTon’s fourth CEO since 2012.
Bon-Ton said Bufano, who resigned, will remain with the company as CEO through a transition period “to ensure an orderly and effective leadership transition.”
Bon-Ton, which has dual headquarters in Milwaukee and York, Pa., has been unprofitable for the past six years. It is among many retailers trying to adjust to online competitors such as Amazon.com and the changing behavior of consumers.
The announcement of the pending departure of Bufano comes after Bon-Ton said last week that Tim Grumbacher, the longtime chairman of the retailer and descendant of its founder, will retire and will be succeeded by his wife and board member, Debra K. Simon.
Simon joined the Bon-Ton board about a year ago. She had been a practicing certified public accountant and was employed by SF & Co., now known as Baker Tilly, for 32 years before retiring in 2015.
Before Bufano, a Chicagoarea native, came to Bon-Ton in August 2014, she was a key executive at Charlotte, N.C.based retailer Belk Inc.
Bufano, 64, succeeded Brendan Hoffman, a former Lord & Taylor CEO who joined the Boston Store parent company in early 2012 but opted not to renew his contract. Hoffman had succeed Bud Bergren as BonTon CEO.
The online competition and reduction in in-store shopping have been especially difficult on mall-based department stores. Boston Store, Younkers and other Bon-Ton stores typically are among main anchor tenants in regional malls.
Bon-Ton posted a $63.4 million loss in 2016. Bon-Ton’s annual sales fell to $2.6 billion last year from more than $2.7 bil-
lion in 2015.
While boosting BonTon’s online offerings, Bufano also has tried to give shoppers more reasons to come to department stores. Under her leadership, for example, furniture departments have been expanded to more locations and “Close to
Home” departments, which feature items made or themed locally, were installed.
Bon-Ton said Tracy has been chief operating officer since July 2015. He previously held various management positions at Hudson’s Bay Company and other retail companies.
The company also announced that Chad Stauffer, a Bon-Ton general merchandise manager, has been named an executive
vice president and chief merchandising officer. In that role, Stauffer will be responsible for leading the company’s merchandising strategy.
Bon-Ton operates 261 stores, including nine furniture galleries and four clearance centers, in 25 states in the Northeast, Midwest and upper Great Plains. Its other department store brand names are Bon-Ton, Bergner’s, Carson’s, Elder-Beerman and Herberger’s.