The Co-operative Group is hoping to see a turn-around in fortune, although restructuring has yet to yield any significant benefits.
The organisation, which saw food operating profits plunged from £61.6m to £38.5m in the six months to July 24, 2004.
Martin Beaumont, chief executive, said the Co-op had now appointed a new head of the food divisions, Eoin McGettigan from Musgrave. The division had been performing strongly 18 months ago, he said, but was now facing deflation and intense competition.
He said: “Eoin is the first step in strengthening the management team. We also have a new group marketing director Zoe Morgan and we are well on track in food in the short term.”
Some of the organisations problems stem from a series of acquisitions, which saw the Co-op’s estate shoot up from 600 stores to 1,800 in four years.
