Remy resigned when she faced a trade dispute with China in the United States
Chairman De Leusse oversees CEO transition
(Added background in paragraphs 5-7)
PARIS/LONDON, April 9 (Reuters) – Remy Cointreau CEO Eric Vallat resigned from another specialty project after five years leading French Cognac Maker, the company said on Wednesday.
Vallat’s resignation came as Remy found herself trapped in a huge trade dispute that affected sales of two of its biggest markets, the United States and China.
The board accepted Varat’s resignation, which took effect this summer, added that Chairman Marie-Amelie de Leusse will oversee the transition until a successor is chosen, the statement said. It didn’t say what Varat was going to do after leaving Remy.
“I would like to express my sincere gratitude to Eric for his commitment, leadership and strategic vision,” said De Leusse.
Remy’s U.S. sales even spin in front of the US president
This would impose a 20% tax on French exports such as Cognac. And China
Tariffs on EU brandy earlier this year.
Remy gets 70% of sales from Cognac, with the vast majority being sold in both countries. This makes it more vulnerable to tariffs than some competitors with a wider geographical location or a wider portfolio.
With spirits sales lost throughout the industry during the post-pop boom, the company’s stock has registered the biggest decline. Stocks fell 26% this year.
Varat said he has strengthened the base of the group and is convinced that his successor can rely on a strong brand to prepare for recovery.
He added: “My commitment will remain total until my official departure date.”
Remy said the terms and conditions for Varat’s departure compensation will be submitted to shareholders at the next shareholders’ meeting.
(Reported by Gdansk Newsroom and Emma Rumney in London; Editors of Makini Brice, Rod Nickel and Joe Bavier)
