Talbots struggles after difficult fourth quarter.

By Karen Talley Of DOW JONES NEWSWIRES 
 

NEW YORK (Dow Jones)--Talbots Inc. (TLB), in the midst of trying to shake off its own missteps and the weak economy, is losing the executive who ran its stores and outlets.

The women's apparel retailer said in a regulatory filing that John Fiske is departing as chief stores officer to pursue other opportunities. The company said it is looking for a replacement. Talbots reported having 584 stores at the end of its fiscal third quarter. The quarter ended Oct. 30.

Fiske was named to oversee retail operations in the U.S. and Canada in March 2009. He had headed human resources since April 2007 and had also received the responsibility for business development.

A Talbots spokesperson wasn't immediately available to comment.

The departure follows Talbots last month slashing its fourth-quarter outlook on worse-than-expected preliminary sales figures because of a drop-off that began in the second half of December.

Talbots, which has been trying to transform its image from a stodgy women's clothier to a more trendy destination, has had erratic success in recent quarters. The company's turnaround efforts have involved making corporate-level layoffs, suspending its quarterly dividend and freezing its pension plans, among other cash preservation measures.

For the period ended Jan. 29, Talbots now expects a loss of 15 cents to 19 cents a share, compared with the estimate it gave in December for a loss of 5 cents a share to earnings of 3 cents a share.

The company said its sales were down 7% compared with a year earlier and worse than its prior view for a range from flat to a low-single-digit decline. Talbots cited weaker-than-expected response to its merchandise, highly competitive promotional activity and weather issues.

For the third quarter, Talbots' profit rose 17% on improved margins, although sales fell as the same store-sales decline was much worse than analysts' expectations.

Talbots' stock has taken a beating, down 31% since the year began; it is off 44% over the last 12 months. In early trading Thursday, the stock was down 11 cents to $5.76.

Shares were $50 higher 10 years ago when the retailer was enjoying a strong economy and a surge in professional women spending on business apparel.