LONDON, United Kingdom — Ted Baker Plc chief executive officer Ray Kelvin resigned amid an investigation of his conduct, including allegations of unwanted hugs in the workplace.
Kelvin had taken a voluntary leave of absence from the CEO role in December as the board hired law firm Herbert Smith Freehills LLP to investigate. He has denied the allegations.
Acting CEO Lindsay Page will continue in the role. Executive Chairman David Bernstein will “provide additional support,” the company said, but will leave that role by Nov. 30, 2020.
The fashion chain’s shares plunged last week after it said profit for the year was hurt by adverse currency movements and other factors. The warning stemmed from a new set of problems, unexpected product costs and an inventory writedown.
The law firm’s investigation continues and is expected to conclude at the end of the first quarter or early in the second quarter, Ted Baker said.
By Eric Pfanner; editors: Eric Pfanner and Thomas Mulier.