( BW)(TX-ZALE-CORPORATION)(ZLC) Zale Corporation Appoints Director of U.S.
Mint Philip N. Diehl to Head Up Internet Business
Business Editors
DALLAS--(BUSINESS WIRE)--March 23, 2000--Zale Corporation (NYSE:ZLC), North
America's largest specialty retailer of fine jewelry, today announced the
appointment of Philip N. Diehl, director of the U.S. Mint, as President of
Zale.com, and Senior Vice President of Zale Corporation reporting to Beryl
Raff, President and Chief Executive Officer of Zale Corporation. Mr. Diehl
will lead the development of Zale Corporation's Web-based business, including
site development, online sales, marketing, fulfillment and customer
relationship management for all company brands including Zales Jewelers,
Bailey Banks & Biddle Fine Jewelers, Gordon's Jewelers, and Peoples Jewellers.
Mr. Diehl joins Zale Corporation after six years as director of the United
States Mint. After reengineering many business processes at the 208-year-old
agency of the U.S. Treasury Department, Mr. Diehl's management led to a
quadrupling of annual revenues since 1997. Under his leadership, profits for
the U.S. Mint, which are returned to American taxpayers, increased six-fold
during the same period. Mr. Diehl helped to create and implement USMint.gov,
the Mint's online retail venture, which grew to become one of the nation's
largest e-tailing websites. Since its launch in April 1999, online sales have
the Mint's online retail venture, which grew to become one of the nation's
largest e-tailing websites. Since its launch in April 1999, online sales have
doubled every quarter reaching $26.3 million in the quarter ending December
31, 1999.
"Phillip Diehl's experience fits Zale Corporation's overall e-commerce
strategy," said Beryl Raff, President and Chief Executive Officer of Zale
Corporation. "His background in e-tailing, order fulfillment and customer
care, coupled with his marketing expertise and success in new product
development will enable Zale Corporation to enhance the Company's online
business."
Mr. Diehl guided the popular 50 State Quarters program and the new Golden
Dollar through approval by Congress, product development and market launch.
Today, half of all Americans are collecting the state quarters from pocket
change and unit sales have tripled to more than $6 billion annually. The
Golden Dollar has proven to be just as popular and, after only two months in
the market, is projected to achieve sales of $2 billion a year.
"Zales is one of America's great brands," said Mr. Diehl. "The Company's
nationwide storefront presence, strong back office systems, and excellent
financial performance represent a formidable platform for intensifying Zale's
online venture. Zale Corporation is one brick and mortar retailer that clearly
understands the strategic importance of the web, and they've made the
commitment required to dominate the retail jewelry space."
Prior to directing the U.S. Mint, Mr. Diehl served U.S. Treasury secretary
and Senator Lloyd M. Bentsen, Jr. in a number of roles, including chief of
staff at the Treasury Department, staff director of the Senate Finance
Committee, and Senator Bentsen's legislative director. Mr. Diehl previously
served as Vice President of Regulatory Affairs for the International
Telecharge, Inc. of Dallas and director of telephone regulation for the Texas
Public Utility Commission. In addition to his professional roles, Mr. Diehl is
chairman of the Federal Advisory committee on customer satisfaction, a group
of public and private sector leaders appointed by Vice President Al Gore to
drive improvements in customer service and customer care in federal agencies.
Zale Corporation operates approximately 1,350 specialty retail jewelry
stores located throughout the United States, Canada, Puerto Rico, and online,
including Zales Jewelers, Zales Outlet, Zale.com, Gordon's Jewelers, Bailey
Banks & Biddle Fine Jewelers and Peoples Jewellers. Additional information on
Zale Corporation and its operations is available on the Internet at
www.zalecorp.com.
This release includes certain forward-looking information including
information related to Zale Corporation's growth expectations and future
growth initiatives,as well as financial and operational results of the U.S.
Mint, that is based upon management's beliefs as well as on assumptions made
by and data currently available to management. This information which has
been, or in the future may be, included in reliance on the "safe harbor"
provisions on the Private Securities Litigation Reform Act of 1995, is subject
to a number of risks and uncertainties, including but not limited to the
factors identified in the Company's 10-K and other documents filed with the
Securities and Exchange Commission. Actual results may differ materially from
those anticipated in such forward-looking statements. The Company undertakes
no obligation to update or revise any forward-looking statements to reflect
subsequent events or circumstances even if experience or future changes make
it clear that any projected results expressed or implied therein may not be
realized.
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CONTACT: Zale Corporation
Investor:
Cynthia T. Gordon
Senior Director, Investor Relations
972/580-5047
or
Media:
Mary Forte'
Executive Vice President and
Chief Administrative Officer
972/580-4810
PHIL |
