Sur La Table goes to Big Apple

SEATTLE-As it beefs up its executive team, and with a new chief executive officer at the helm, kitchenware retailer Sur La Table is launching a growth plan that includes the opening of seven stores nationwide this year.

Among the new stores planned is the company's first in New York, a 10,000-square-foot space in SoHo. The SoHo store is significant both because it is nearly twice as large as other Sur La Table stores, and it marks the company's entry into the East Coast market.

About half of the 10,000 square feet will be used as retail space. The other half will be set aside for the store's culinary classes and other uses. Stores typically measure about 5,500 square feet. Those with the culinary programs are about 6,300 square feet.

Chief Executive Officer Kathy Tierney declined an interview with Gourmet News. In a prepared statement, Tierney said "SoHo... continues to be one of the hottest shopping destinations, and we felt that Sur La Table and our unique kitchenware is a perfect fit, offering city dweller and visitors a new culinary resource."

Besides the New York shop, other openings planned are West Palm Beach, Fla.; Walnut Creek, Calif; Scottsdale, Ariz.; Pittsburgh and Livingston, N.J. Susanna Linse, spokesperson for the kitchenware store, said opening dates and the seventh location were not available at press time.

Sur La Table was founded in 1972 with one store in Seattle's historic Pike Place Farmers Market.

Tierney, who was hired in April 2004 to replace CEO Tim Hopkins, who left in March 2004, will oversee the company's new growth. Tierney was previously CEO of Smith & Hawken from 1993-1999 and also served as manager of the Nature Company. Her hiring represents a sea change from the company's entrepreneurial mode to professional management, industry observers say.

It's a tack many businesses take as they mature and transition from start-up company to larger enterprises.

As part of the top executive changes, the highly visible Renee Behnke, president of the company, took on a new title of president emeritus, dropping responsibility for operations and aligning herself more as expert cook.

Behnke is credited for guiding the company from one shop to 48 locations and for creating and growing Sur La Table's cooking program.

The privately held retailer, whose sales last year were reportedly more than $75 million, positioned itself for expansion, not only with the addition of Tierney at the top, but also with an infusion of $9.2 million in new funding at about the same time Tierney joined the company.

The company's major investors are the private-equity firm Freeman Spogli & Co. and the Seattle-based Behnke family.

With the additional seven stores planned this year, Sur La Table will have a total of 55. The existing 48 stores are in 19 states.

When Tierney took over as CEO, she said she planned stores in every major market in the country, and expected to build the company up to 100 retail outlets.

Besides Tierney at the top, the company has added other new members to the executive team over the last year. They include:

*Jan Cannon, vice president of human resources, was vice president of global human resources at Cendant Corp. As principal of Cannon Consulting, she focused on change management, recruiting and quality improvement.

*Neal Cohen, vice president of direct marketing, oversees the company's e-commerce and catalog divisions. He worked at Nordstrom and Williams-Sonoma.

*Colleen Anthony, merchandising manager, oversees tabletop, linens, glassware, bakeware, food and direct-order merchandising. Anthony's previous retail experience includes Nordstrom and Harrods.

Cookware buyer Jan Marshall left the company. Sue Pippy buys barware, gadgets and furnishings.

Janet Sauvage buys bakeware, books and food, and Thorn West, cookware, electrics and knives.

Copyright United Publications, Inc. May 2005
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