L Brands Announces Chief Financial Officer Stuart Burgdoerfer to Retire in August 2021

Martin Waters Promoted to CEO of Victoria’s Secret

Raises Fourth Quarter Earnings Guidance

COLUMBUS, Ohio, Feb. 04, 2021 (GLOBE NEWSWIRE) -- L Brands, Inc. (NYSE: LB) announced today that Stuart Burgdoerfer has communicated to the Board of Directors his desire to retire as CFO of L Brands and Interim CEO of the Victoria’s Secret business. Martin Waters, currently CEO of Victoria’s Secret Lingerie, has been promoted to CEO of the Victoria’s Secret business and will assume those responsibilities effective immediately. Waters will report to Andrew Meslow, CEO of L Brands. Burgdoerfer will remain in his CFO role through August 2021. The company has initiated a search for Burgdoerfer’s successor as CFO, which will include both internal and external candidates.

The Board and management remain committed to separating the Victoria’s Secret and Bath & Body Works businesses. At its January meeting, the Board was fully updated by its financial advisors, Goldman Sachs and JPMorgan, and the company is currently targeting August 2021 to complete the separation. All options, including a spin-off of the Victoria’s Secret business into a public company or a private sale of the business, are being evaluated. Burgdoerfer will continue to lead this process in his role as L Brands CFO.

Due to strong January results, the company is raising its earnings guidance for the fourth quarter from $2.70 to $2.80 per share to $2.95 to $3.00 per share. The company expects to report a fourth quarter comparable sales increase of 10 percent, consisting of a 22 percent increase at Bath & Body Works and a 3 percent decrease at Victoria’s Secret. The company will report its fourth quarter earnings results on Feb. 24 and conduct its earnings call at 9 a.m. Eastern on Feb. 25.

“The Board and I are extremely grateful to Stuart for his leadership during his 20-year career at L Brands,” said Sarah Nash, chair of L Brands’ Board of Directors. “In the last 9 months, he has led the turnaround of the Victoria’s Secret business in addition to continuing to lead L Brands’ finance organization as CFO. He will be missed, and we appreciate that he will remain with the business to see us through the planned separation process.”

Meslow said, “Stuart has been an exceptional CFO for the last 14 years and has built an extremely knowledgeable and talented senior finance team. On behalf of the entire company, I’d like to thank him for his dedication, extraordinary efforts and leadership.”