The Globe and Mail reports in its Monday edition that Nike veteran Heidi O'Neill will become chief executive officer of Lululemon on Tuesday, stepping into a challenging situation. The Globe's Susan Krashinsky Robertson writes that Lululemon's stock hit an eight-year low on Friday after disappointing second quarter earnings and a reduction in financial forecasts raised concerns about the company's turnaround, putting added pressure on the incoming CEO. On Thursday, after markets closed, Lululemon cut its forecasts for the second time in three months, and reported that its second quarter revenue fell by 5 per cent on a constant currency basis, to $2.4-billion (U.S.). It signalled things will only get worse in the third quarter, with North American sales expected to fall by a percentage around the mid-teens, while international markets should grow by 3 to 5 per cent. Stifel analyst Peter McGoldrick says: "The business is still searching for a bottom. ... The trough is not yet set." William Blair analyst Sharon Zackfia says the performance of Lululemon's stock reflects uncertainty about management's ability to stabilize, let alone fix, the business. She says the brand's recovery is now looking harder to achieve.