Tesco lifesaver to check out...
CEO ‘Drastic’ Dave Lewis in shock move
THE “bloke that saved Tesco” is to quit the supermarket giant after six years in charge.
Chief executive Dave Lewis yesterday announced plans to step down next summer after “completing the turnaround” of Britain’s biggest grocery chain.
Lewis, 54, said: “Now is the right time to pass on the baton.”
He will be replaced by Ken Murphy whose last job was a senior executive at the owner of chemist chain Boots.
Lewis is credited with reviving Tesco’s flagging fortunes by restoring relations with suppliers, overhauling ranges and improving customer service.
But he was also forced to offload overseas arms and there have been largescale job losses along the way.
Clive Black, a retail analyst at broker Shore Capital, said: “Put simply, he is the bloke that saved Tesco. Mr Murphy has big shoes to fill.” Lewis, who was nicknamed Drastic Dave during his time at Marmite-maker Unilever, has earned more than £22million since 2014.
Murphy’s £1.35m basic annual salary is 8 per cent more than what Lewis gets but his pension contribution is less.
Lewis described the top job as “all consuming” and said he planned to spend more time with his family.
His decision came as Tesco announced healthy half-year results, with global sales up 0.1 per cent to £28.3billion – £22.4bn in the UK and Ireland – operating profits up 25 per cent to £1.4bn, profit before tax up 6.7 per cent to £494m, and its interim dividend increased by 58 per cent to 2.65p.
Lewis wasn’t the only departure announced yesterday. Vernon Hill, chairman and founder of troubled Metro Bank, said he will step down at the end of the year. And Martin Gilbert will leave Standard Life Aberdeen in 2020 after more than three decades.