The final two remaining directors of the Safeway board have stepped down as Morrisons lays the last groundstones for its £3 billion takeover.
Trading director Jack Sinclair and operations director Lawrence Christensen will leave the company, reversing the initial decision that they would stay on in the combined organisation. All 12 Safeway directors will have now departed by the time the takeover takes place.
Both are thought to have reached their decisions after planning made it clear that their respective opposite numbers at Morrisons, Marie Melnyk and joint managing director Bob Stott, were not going anywhere.
In the case of Christensen, 60, he had already postponed his retirement and will leave in June after assisting with the integration of the two companies. Sinclair, 42, is reported to be leaving as soon as the merger is finalised, and will take around £300,000 with him.
Meanwhile, Safeway unveiled a disappointing like-for-like sales decline of 4 per cent over the Christmas period. The 12 weeks from to January 3 saw a 4.1 per cent same-store sales decline, significantly down on the chain’s 2.5 per cent six-month drop in the first half.
Profits however were slightly higher, suggesting that a policy decision to shy away from discounting and BOGOFs during negotiations over a sale had paid some dividends.
No comments yet