J SAINSBURY PLC
8 October 1999
J Sainsbury plc announces new Board responsibilities
On 2 June, 1999, J Sainsbury plc announced a series of major changes to its UK
supermarket business. As part of this continual programme of restructuring,
Dino Adriano will now concentrate on his role as Group Chief Executive,
responsible for the development and overall implementation of Group strategy,
in addition to maintaining the strong profit growth from our overseas and
non-food operations.
David Bremner will become Managing Director of Sainsbury's Supermarkets Ltd
(SSL) reporting to Dino Adriano. This will add greater management focus to
the UK supermarkets business. David will start working in SSL on 1 November
and will assume full responsibility on 1 January 2000. This will ensure a
smooth management transition during the critical Christmas trading period.
Roger Matthews has been appointed Group Finance Director. He joins the
company in November. Roger, 45, was formerly Group Managing Director and
Finance Director of Compass Group plc, the world's leading contract food
service company with a market capitalisation of some £4 billion. He brings a
wealth of experience of food marketing in a customer driven environment to his
new position.
Announcing these changes, Dino Adriano said:
'The actions I outlined on 2 June are among the most radical that Sainsbury's
Supermarkets has ever undertaken. We are changing the business in an
increasingly intense competitive environment. We must ensure that management
attention is completely focused and that we restore trading performance in our
supermarket business to acceptable levels. This will be David's sole
responsibility and I am confident that he will bring experience, drive and
imagination to the task.
'We must continue to build on our successes at Shaw's and Homebase. These
businesses generate over £3bn of sales and over £100m in operating profits.
Our overseas food retailing businesses far exceed the performance of the
overseas food activities of any of our UK competitors. Both Homebase and
Shaw's represent substantial value and growth opportunities to the Group. I
will drive growth in these areas while retaining overall responsibility for
Group performance.'
Commenting on the changes, Sir George Bull, Chairman, said:
'The Group has major challenges and opportunities before it. It is my own and
the Board's view that the changes in responsibility announced today will
enable us to continue successfully to meet the challenges of the UK
supermarket business.
'David has demonstrated a clear ability to improve business performance
significantly in his management of Shaw's and Homebase. Both companies have
grown market share faster than their competitors under his leadership.
'Roger Matthews, the new Group Finance Director, will bring valuable
experience from a related but different business background, adding further
strength to our management team as well as tackling the changes required in
our business.
'We must also sustain satisfactory growth for the Group from our overseas and
non-food operations. Dino, while maintaining overall responsibility for the
Group, will now focus more attention on strategy and the overall Group
performance.'
J Sainsbury plc will provide a sales update with its second quarter trading
statement on 27 October.
Contacts: Pip Wood, Press Office: 0171 695 6127
Miranda Pode, Investor Relations: 0171 695 6215
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