Asda ramps up hunt for chief executive as it becomes only big supermarket to drop sales
ASDA’S hunt for a chief executive has become more urgent to help turn around sliding sales.
Industry figures yesterday showed it was the worst performing food retailer and the only big supermarket to drop sales.
They fell by four per cent in the 12 weeks to June 9, as Tesco and Sainsbury’s grew theirs by more than four per cent, market research company Kantar said.
Asda is still without a chief executive more than two years after its last boss Roger Burnley left.
It is now said to be looking abroad for candidates, with a rumoured £10million pay deal on offer.
Senior sources say it has been hard to get co-owner Mohsin Issa to give up control of its day-to-day running since buying Asda in a £6.8billion takeover in 2021.
One said: “Mohsin didn’t really want to hire a chief executive before, it was all very half-hearted.
“But now it’s clear they need a real experienced retailer.”
Targets are thought to include Amazon’s Claire Peters and former Lidl UK boss Christian Hartnagel.
But at least five big hitters including Matalan’s Jo Whitfield and M&S chief Stuart Machin turned down the role because of the challenges of sharing day-to-day running with Mr Issa.
His brother Zuber recently ditched his stake and now private equity firm TDR Capital is the biggest shareholder.
THE FIVE WHO’VE ALREADY SAID NO
JASON TARRY
TOPPED the wanted list.
Left Tesco last year after 33 years — six leading the UK’s largest supermarket.
Named new chairman at John Lewis in April to replace Dame Sharon White.
PETER PRITCHARD
MADE the shortlist after leading Pets at Home to phenomenal growth.
Now happy, however, building a “portfolio” career of director roles — including Italian pet firm Agrifarma and AO World.
JO WHITFIELD
RAN Co-op Food business and was well fancied owing to her previous experience at the helm of mass market fashion label George at Asda.
But last March became boss of Matalan.
TREVOR STRAIN
EX-Morrisons chief operating officer was wooed but approach came to nothing .
Has joined “Chicken King” Ranjit Boparan to run his empire which includes Bernard Matthews and Carluccio’s.
STUART MACHIN
WHEN Asda’s search first started, he was running M&S food.
He was later promoted to chief executive of the High Street favourite and is now leading Marks & Spencer’s turnaround.
THREE WHO MIGHT SAY YES
CLAIRE PETERS
STARTED on the tills and has worked at Australia’s Woolworths supermarkets as well as nine years at Tesco stores in Asia.
Joined Amazon last year to help run its grocery Fresh division.
LIONEL DESCLEE
QUIT The Very Group, formerly known as Littlewoods, in April after less than a year.
Also ran Asda’s former owner Walmart in Japan.
But some insiders think this may be too big a job for the Belgian.
CHRISTIAN HARTNAGEL
RAN Lidl’s UK operations for five years.
Has now returned to Germany to run Lidl’s operations there, so key would be whether Asda could convince the father of two to return to the UK.
£5BN TAKEOVER
BRITAIN’S biggest investment platform Hargraves Lansdown is to accept a £5.4billion private equity takeover.
The Bristol-based firm, with 1.8million retail investors and £150billion in assets, has been targeted by CVC Capital Partners, Nordic Capital and Abu Dhabi’s Platinum Ivy.
The bidders returned yesterday with an improved offer of £11.40 a share after two previous approaches were rejected.
Co-founder Peter Hargreaves, the biggest shareholder, said he would consider backing the bid.
FIRM’S FRY HIGH
WHITBREAD is getting a boost from hotel fry-ups.
The owner of Premier Inn and Brewers Fayre reported that breakfast sales for hotel guests were currently off- setting lower sales at its restaurant chains.
This suggests cash-strapped people are willing to treat themselves after a night in a budget hotel when they are already away.
The business posted a 1 per cent increase to £739million in the three months to May.
But weekend demand from customers was “slightly softer”.
FEWER firms went bust in May than the previous month, according to official data.
The number of company insolvencies fell by six per cent month-on-month to 2,006 and by 21 per cent compared to last year, according to the Insolvency Service
BOEING IN NEW ROW ON FAULTS
BOEING has been hit by further whistleblower claims that faulty parts might have ended up on planes because it tried to hide them from regulators.
The aerospace giant has been hit by a string of safety scandals, including two fatal plane crashes and a door peg blowing off mid-air.
Sam Mohawk, a current Boeing employee, alleged the company told employees to move the 60 “nonconforming parts” to another location to hide them from inspectors and then some were lost.
He also claims Boeing told employees to delete records last August.
His claims came just hours before Boeing boss Dave Calhoun was due to face US lawmakers for a grilling titled “Boeing’s broken safety record.”
Mr Calhoun, who has already signalled he is stepping down, admitted the firm’s culture is “far from perfect” but said it was taking action.
‘TOO LAX’ HSBC BAN
HSBC has been banned by Swiss regulators from taking on new “politically exposed people” as clients.
The banking authority, Finma, said HSBC had failed to carry out necessary money laundering checks.
The failing relates to “high risk” transactions worth £236.7million between Lebanon and Switzerland.
Relationships with two unidentified politically exposed persons were involved.
SHEIN SEX TOYS SALE SLAMMED
FAST fashion retailer Shein has been accused by rivals of lax child safety controls when selling sex toys online.
The Chinese internet marketplace, currently filing plans for London’s biggest stock market listing, has a range of items easily visible to young shoppers.
Now other adult retailers claim strict safeguards, including Google tech which blocks youngsters’ access, are not being applied strongly enough to Shein.
Maria Hollins, boss of Ann Summers, said: “We are classified as an adult retailer and do not put inappropriate products in front of minors.
“However, the application and enforcement of the Online Safety Act is not consistent.
“Retailers with a wider product offering are able to present these products without age verification or restriction.” Johannes
Plettenberg, chief exec of Lovehoney, also raised concerns about the safety of adult items sold via Shein.
The Chinese giant said suppliers were required to comply with standards and it was “dedicated to always providing consumers with safe and reliable products”