Carter's CEO Frederick J Rowan II is to retire from his post on 1 August, to be succeeded by current company CFO Michael D Casey.

Rowan said the succession process at the children's wear retailer was the result of careful planning by the company board over the past several years, and would provide Carter's with "strong leadership continuity".

He will step down as CEO and as a member of the board. "Mike's leadership over the last 15 years and the breadth of his understanding of our products, our business and the financial markets has earned him the full confidence of our board, our employees and our management team," Rowan added. "Mike is the right person to lead the next phase of our growth."

Rowan joined Carter's as president and CEO in 1992, becoming chairman four years later. Casey joined the company in 1993, and was appointed CFO in 1998.

Casey said he was honoured at the appointment, adding: "We have great brands, outstanding employees and a rich heritage. I look forward to building on a strong foundation and working with our very talented leadership team."