Lowe’s acquires a key CVS exec
Lowe’s brings in a new Chief Financial Officer, as the company reveals future plans to update its financial health after releasing a mixed second-quarter report.
The company announced the appointment of David M. Denton as Executive Vice President and Chief Financial Officer. Denton currently serves as Executive Vice President and Chief Financial Officer of CVS Health and will join Lowe's shortly after the closing of the CVS acquisition of Aetna, which is expected in the second half of 2018.
In its first fiscal report under new Chief Executive Officer Marvin Ellison, the company laid out a number of measures it plans to take to improve its business, including exiting its Orchard Supply Hardware business, which the company bought for $205 million in 2013. The company says the decision was made in order to “focus on its core home improvement business” and that it plans to close all 99 of these hardware stores - located in Oregon, California and Florida - by the end of the year.
"We are pleased to add a leader of Dave's caliber to the Lowe's team," said Marvin R. Ellison, Lowe's President and Chief Executive Officer. "Dave is a proven retail executive with expertise in finance, capital allocation and strategic planning. Dave also has a strong background in large-scale transformation efforts and has achieved outstanding results throughout his tenure. I am confident that Dave will play a key role as we accelerate growth, profitability and return on capital at Lowe's."
Denton brings to Lowe's more than 25 years of finance and operational expertise. At CVS, he is responsible for all aspects of financial planning and management. According to Lowes, since being appointed Chief Financial Officer in 2010, Denton has restructured CVS Health's balance sheet and implemented a comprehensive capital allocation program designed to enhance shareholder value. Denton has also played an instrumental role in the company's pending acquisition of Aetna.
Denton succeeds Marshall A. Croom, whose retirement was previously announced.