Hugo Boss picks financial chief Mark Langer as new CEO

German fashion house Hugo Boss announced Monday that it has chosen chief financial officer Mark Langer to become the new chief executive after the resignation of the former head of the company following a profits fall.

Langer, who has been with Hugo Boss for 13 years, will replace Claus-Dietrich Lahrs who stepped down in February after the group’s financial forecasts for 2016 were slashed due to a slump in sales in the major markets of the United States and China.

“Due to my long-standing work for Hugo Boss, I have a clear understanding of the company’s potential and know what we need to do to get it back on track for profitable and sustainable growth,” Langer said in a statement.

Supervisory Board chairman Michel Perraudin said he was convinced that “appointing Mark Langer is absolutely the right decision, especially in the current situation.”

The board is expected to rubber stamp the decision to promote Langer “shortly” the company said on its website.

The annual shareholders meeting will take place on Thursday.

Earlier this month the Metzingen, Germany-based company published disappointing results including a 29 percent drop in earnings,before interest, taxes, depreciation and amortization and other items, to 93.5 million euros ($108 million) in the first quarter.

The group has already announced that it will close some unprofitable stores in order to make savings.

It also plans to spend less on marketing its women’s lines and concentrate on its core menswear market.

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