Former Asda chief makes surprise comeback to fix UK retail giant's problems
British supermarket chain Asda brings back its ex-boss from 20 years ago as new chairman. The move comes as the retailer tries to fix its falling market share and boost sales
Allan Leighton is set to make a come-back as Asdas chairman replacing Lord Rose who led the company since 21. The change happens as the UKs third-biggest supermarket tries to fix its business problems
During his first run at Asda (96-01) Leighton made the deal to sell the company to Walmart; since then he worked as chair at Royal Mail‚ Co-op and was president of North-Americas second-largest food seller Loblaw Companies. His know-how will be needed as Asda faces tough times with dropping sales numbers
The supermarket chain has seen rough times since private-equity firm TDR Capital and the Issa brothers bought it for £6.8bn about 4 years ago. The companys market share went down from 14.6% to 12.5% which made Lord Rose say he felt “embarrassed“ about the stores results
The potential for Asda now is significant
Recent changes at the store included cutting almost 500 jobs (with more lay-offs coming next year)‚ making office staff work on-site three days weekly. The company still needs to find a full-time CEO since Roger Burnley left in 21; finding someone for this job has been hard
Stuart has done an important job in helping to create a retailer with a presence in every format and I am delighted to be returning to the business which has always been a special place for me
