Tesco chief-exec jumps ship after profit warning
Tesco are incredibly successful, which is why it is funny when they have a bit of turbulence. Their chief-executive - Philip Clarke - is now the ex-chief-exec as he's resigned following a profits warning. He's already been replaced by Unilever exec and non-executive director of BSkyB, Dave Lewis.
It is worth pointing out that Tesco are still making a shedload of money and that Philip Clarke is still considerably wealthier than anyone we know.
Tesco have said that trading conditions were more challenging than anticipated and that sales and trading profit in the first half of the year were below expectations. Of course, they had to say it was trading conditions, rather than holding their hands up and saying 'we've kinda been crap for a while now are we're sad that everyone has started to notice and shop elsewhere.'
During Clarke's tenure, Tesco have seen three years of falling sales in Britain
Some of the board have backed Clarke, saying that major restructuring at Tesco has been part of the problem, as well as the advancing influence of Lidl and Aldi and online shopping. Others, meanwhile, think Clarke had an attitude problem.
Sir Richard Broadbent, the Tesco chairman, said: “Having guided Tesco through a substantial re-positioning in challenging markets, Philip Clarke agreed with the board that this is the appropriate moment to hand over to a new leader with fresh perspectives and a new profile."
Clarke said: "Having taken the business through the huge challenges of the last few years, I think this is the right moment to hand over responsibility and I am delighted that Dave Lewis has agreed to join us."
Hands up if you think anything's going to noticeably change at Tesco...