Morrisons CFO Richard Pennycook is to leave the UK retailer, the country's fourth-largest grocer said in a surprise announcement today (25 June).
Pennycook has served as finance chief at Morrisons since 2005 and was tipped as one of the potential successors to former chief executive Marc Bolland, before the eventual appointment of Dalton Philips in 2010.
His loss is likely to come as a knock for the retailer, which has seen its strategic direction criticised as sales have fallen behind the rest of the market. Morrisons posted a 1% fall in first quarter sales last month while, earlier this month, the chain's founder and former CEO Sir Ken Morrison suggested that management was losing touch with its core consumer.
Directorate Change
The Board of Wm Morrison Supermarkets Plc (the "Company" or "Morrisons") announces that Richard Pennycook, Group Finance Director, has informed the Company that he intends to step down from the Board and leave Morrisons at the end of June 2013 to concentrate on building a portfolio career.
Mr Pennycook, who joined Morrisons in October 2005, will carry out an appropriate transition of his responsibilities prior to leaving the Company in June 2013. In the meantime, he will retain his responsibilities for Finance, IT, Online and Strategy.
The Nomination Committee will shortly commence a process for the selection of an appropriate candidate as successor.
Sir Ian Gibson, Chairman of Morrisons said:"Richard has done an outstanding job for Morrisons over the last 7 years. He was the architect of the Company's Optimisation Plans and has played an increasing strategic role in the last few years as Morrisons has completed its transformation into a nationwide retailer. Richard will remain with Morrisons for another year which will ensure a seamless transition with his eventual successor. When he leaves in 2013 it will be with our gratitude and best wishes for the next phase of his career."
Dalton Philips, Chief Executive of Morrisons said:
"Richard is an exceptional CFO who has made an enormous contribution to Morrisons. We have worked very closely together for more than two years and he is held in the highest regard by the company and all its stakeholders."
Richard Pennycook said:
"This was a difficult decision but by the time I leave next year I will have been with Morrisons for over 8 years and I feel that it's the right time to seek new challenges. It was very important to me to give Morrisons as much notice as possible to ensure a smooth transition. I wish the Company and my colleagues all the best for the future."
