Inside This Issue - News
Jelinek set to become Costco CEO
September 19th, 2011
ISSAQUAH, Wash. – Jim Sinegal will step down as chief executive officer of Costco Wholesale Corp. at the end of the year. He will be succeeded by president and COO Craig Jelinek.
"Costco has a very strong culture and a deep bench of management talent," Sinegal said in a statement. "I have total confidence in Craig’s ability to handle his new responsibilities and feel we are fortunate as a company to have an executive of his caliber to succeed me as chief executive of Costco."
Plans call for Sinegal to remain active with the company in an advisory role and assist with the leadership transition through January 2013. He will also continue to serve on the board of directors and will stand for reelection at the annual meeting next January.
Jelinek, a 28-year Costco veteran, started out as a warehouse manager in 1984 and has since served in every major operations and merchandising role. He was appointed to his current role in February 2010.
According to Costco, Sinegal, Jelinek and chairman Jeff Brotman have worked closely together over the last 18 months.
Jelinek’s succession to CEO was announced along with Costco’s August results. Net sales for the month rose 17% to $6.9 billion, while comparable-club sales gained 11%, based on a 9% domestic increase and an 18% jump in international comparable-club sales.
Excluding the favorable effects of gasoline sales and foreign currency exchange, chainwide comparable sales advanced 7%, as international clubs posted an 11% increase and results at U.S. clubs improved 6%.