Bebe Chief Executive Resigns

Gregory Scott has resigned as ceo of Bebe Stores Inc. (Brisbane, Calif.) after five years at the helm of the specialty apparel retailer. According to Women’s Wear Daily, the company said Scott had resigned “to pursue other interests” and that founder and chairman Manny Mashouf would assume Scott’s responsibilities as ceo.

Scott joined Bebe in 2004 after serving as president of the Arden B division of The Wet Seal Inc. (Foothills Ranch, Calif.). He had previously spent four years as Bebe’s vp, merchandising. His tenure at Bebe was described by WWD as “rocky.”

In 2005, Scott said Bebe had the potential to double into a $1 billion business. In its most recent fiscal year, ended in July 2008, sales reached $687.6 million, up 2.5 percent from the prior year, but same-store sales were down 7.6 percent. Last week, the company reported a 20.1 percent decline in same-store sales for its second quarter ended Jan. 3, 2009, the eighth straight quarter in which the company had suffered same-store sales drops.

According to WWD, some consider the brand – which had positioned itself as “sleek and sexy” and a favorite of youthful film and music stars – diluted by attempts to expand the business beyond its contemporary image, particularly with its emphasis on the Bebe Sport division. The company has also been criticized for choosing older spokeswomen, such as actresses Rebecca Romijn and Eva Longoria Parker for Bebe and Bebe Sport, respectively. At the same time, however, the company recently reached back toward the junior market with its 2b concept store.

Bebe has 312 stores, including 215 Bebe units and 64 under the Bebe Sport banner.