Wal-Mart Stores Inc. plans to cut the size of its board to 12 directors as four of its current members -- including former Chief Executive Officer Mike Duke and founding family member Jim Walton -- decided not to stand for re-election.
The board will maintain an independent majority at 67 percent of its members after the changes, the Bentonville, Arkansas-based company said Wednesday in a statement. Aida Alvarez and Roger Corbett also are retiring from the board, and Steuart Walton has been nominated for election.
Wal-Mart has been struggling to grow its business amid a slow down in traffic to its U.S. stores and pressure overseas. The company said it expects profits this year to be down as much 12 percent and revenue to be unchanged from last year, in part because of unfavorable currency exchange rates. To revive growth, Wal-Mart Chief Executive Officer Doug McMillon has been investing in online operations and higher wages for U.S. workers to try to improve customer service.
In a separate filing, Wal-Mart said McMillon’s total compensation in the company’s most recent fiscal year rose 2.1 percent to $19.8 million.
Wal-Mart fell 0.8 percent to $69.21 in New York trading, before the board changes were announced. The shares have gained 13 percent this year.