Bed Bath & Beyond’s stock price fell on Tuesday following news that the company’s chief financial officer had died over the weekend.
As investors pondered the implications of the leadership vacuum left by the death of Gustavo Arnal shares fell to $7.04 in late trading which represents a drop of about 18%. Police said Arnal fell from a building on Friday and is dead. After further investigation, the city medical examiner’s office ruled the death a suicide.
On Tuesday morning, Bed Bath announced that chief accounting officer Laura Crossen will take over as chief financial officer.
The loss follows the company’s recent efforts to rebuild its standing with investors and customers by eliminating several top-level positions, including that of chief operating officer. In addition, it is looking for a permanent executive director. Bed Bath & Beyond is operating under interim chief executive Sue Gove after former company leader Mark Tritton was ousted from the board in June.
The company, which is based in Extra Jersey, announced last week that it had received more than $500 million in new financing, including a loan. He also detailed a plan to revive the company by closing 150 stores, laying off employees and rethinking the product line.
After the start of the Covid-19 epidemic in 2020, Arnal made the transition from London-based cosmetics brand Avon to Bed Bath & Beyond. He also worked for Procter & Gamble for 20 years.
In a statement Sunday about his death, Bed Bath & Beyond said Arnall “played an important role in leading the organization during the coronavirus pandemic.”
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