Business

Former Sears Canada boss Calvin McDonald named new CEO at Lululemon

Calvin McDonald, a former former Sears Canada CEO and president and CEO of Americas for cosmetics boutique Sephora, has been named as the new top executive at Lululemon.

Previous CEO stepped down in February after Lululemon said he 'fell short' of its standards

Lululemon Athletica Inc. has appointed Calvin McDonald, seen here in an April 2013 photo, as their new chief executive officer. (Chris Young/Canadian Press)

​Lululemon Athletica Inc. has chosen former Sears Canada CEO Calvin McDonald as its new chief executive officer.

The Vancouver-based clothing company says McDonald has served as president and CEO of Americas for cosmetics boutique Sephora for the past five years.

McDonald was chosen after an executive search beginning in February, when then CEO Laurent Potdevin suddenly stepped down after the company said he "fell short" of its standards of conduct.

The Canadian-born McDonald earned his MBA at the University of Toronto and prior to joining Sephora in 2013, he spent two years as president and CEO of Sears Canada and 17 years in various roles with Loblaw Companies Ltd.

McDonald will be paid an initial base salary of $1.25 million US and will be eligible to receive, among other things, an annual target performance bonus of 150 per cent of the base salary and equity rewards equal to $6 million US, according to regulatory documents.

McDonald is set to assume the CEO role on Aug. 20, and will become a member of Lululemon's board of directors.