By Angela Chen
Nike Inc. said its chairman and founder Phil Knight will step
down next year, and he has recommended Chief Executive Mark Parker
as his successor.
Mr. Parker "has been an outstanding CEO for the past nine years,
and has demonstrated time and again his love for this Company and
his clear vision for capturing the tremendous potential Nike has to
innovate, inspire, and drive growth," Mr. Knight said in a news
release.
Additionally, Nike has added Travis Knight, Phil Knight's son,
to the board. Mr. Knight, 41, is chief executive of Laika LLC, an
animation studio.
Phil Knight also recently created a separate company, Swoosh
LLC, to hold his 128.5 million Nike Class A shares. This represents
about 15% of the combined total outstanding Nike shares. Swoosh has
its own board, which includes Phil Knight and Mr. Parker.
The Swoosh board has the power to elect 75% of Nike's board of
directors, according to a securities filing.
The Beaverton, Ore.-based company performed well of late,
benefiting from the growing popularity of athletically styled
footwear and clothes among consumers who aren't necessarily
planning a workout, known as athleisure.
The athleisure trend has also affected the broader running-shoe
market, where sales of lower-priced, fashion-focused shoes are
driving growth, moreso than technical models targeted at
athletes.
In its latest quarter, Nike recorded a 4.8% increase in
quarterly sales though continued pressure from a stronger dollar
weighed on revenue growth and future orders.
Write to Angela Chen at angela.chen@dowjones.com
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