Lululemon CEO resigned in part due to romantic relationship with designer

Laurent Potdevin resigned from the top spot and from Lululemon’s board of directors

A relationship between the CEO of Lululemon Athletica Inc. and a former designer at the company is one of several instances in which the chief executive fell short of the retailer’s standards of conduct, a source familiar with the matter said Wednesday.

Laurent Potdevin resigned from the top spot and from Lululemon’s board of directors effectively immediately last Friday.

There was a range of incidents that contravened the company’s conduct code, the source said — including a years-long relationship with a designer who left the company in 2014 but continued working as a contractor later on, though the company did not renew her contract this year.

Potdevin could not be reached for comment about the workplace relationship, while Lululemon declined to respond.

The athleisure retailer said in a statement Tuesday that it “expects all employees to exemplify the highest levels of integrity and respect for one another, and (Potdevin) fell short of these standards of conduct.”

He and the company reached a separation agreement that will see the ex-CEO receive $3.35 million cash and a further $1.65 million in monthly instalments over 18 months, according to a filing with the U.S. Securities and Exchange Commission.

Potdevin agreed not to sue the company and to co-operate with it in the future, among other stipulations, in exchange.

While the retailer’s board of directors is searching for a new CEO, some shareholder advocates and analysts are calling on the company to disclose more information about the abrupt resignation. At least two U.S. law firms have launched investigations into the company.

Potdevin took over as CEO at Lululemon from Christine Day after she announced plans to leave the company. The board of directors appointed him in December 2013. He previously served as president for TOMS Shoes and CEO of Burton Snowboards.

Aleksandra Sagan, The Canadian Press


@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Tommy Chong says cannabis legalization makes him proud to be a Canadian

Legendary marijuana advocate and comedian celebrates cultural milestone at Kelowna event

Four-sailing wait at BC Ferries Swartz Bay terminal

Full vessels create long waits on Friday afternoon

A year in tent city: Timeline of Camp Namegans

Since September 2017, Victoria’s homeless camp has set up in more than 20 locations

Tent city campers prepare to leave Uplands Park

Vehicle access remains restricted at Cattle Point

Singer k.d. lang receives Alberta’s highest honour

Celebrated singer-songwriter k.d. lang received the Alberta Order of Excellence in Edmonton

‘Mom, I’m in trouble:’ Canadian faces 10 years for alleged graffiti

Brittney Schneider, another tourist caught spraying message on walls of Tha Pae Gate in Thailand

Find your future at Black Press career fair in Victoria

More than 70 booths expected at Bay Street Armoury on Oct. 25

POLL: Do you support amalgamation for communities in the Capital Region?

Residents in Victoria and Saanich will be voting on Oct. 20 on… Continue reading

Feds consulting on national anti-racism strategy behind closed doors

Heritage Minister Pablo Rodriguez says people still face systemic racism in some communities

Enbridge aims for mid-November to finish B.C. pipeline repair after blast

A natural gas pipeline that ruptured and burned near Prince George caused an explosion and fireball

How to get government cheques if Canada Post staff go on strike

The Canadian Union of Postal Workers said members could go on rotating strikes as early as Monday

Anti-SOGI school trustee files defamation lawsuit against BCTF president

Barry Neufeld says Glen Hansman’s words caused him “indignity,” “personal harassment,” and “anxiety”

Ocean ‘blob’ returns to B.C.’s North Coast

A 2,000 kilometre patch of warm ocean water could signal a warm winter in Prince Rupert

Most Read