Sunny

Sunny

max temp: 12°C

min temp: 6°C

ESTD 1874 Search

Retail: Co-operative Group confirms Richard Pennycook as chief executive following reform vote

16:19 04 September 2014

Co-operative Group chief executive  Richard Pennycook.

Co-operative Group chief executive Richard Pennycook.

Co-operative Group boss Richard Pennycook said today that the business was ready to start rebuilding its shattered reputation as he was confirmed as its new chief executive.

shares

Mr Pennycook, who was previously finance director, had been standing in as chief since March when predecessor Euan Sutherland walked out, claiming the group was ungovernable as he tried to push through reforms in the teeth of opposition.

Last weekend, however, the mutual’s members voted to approve a radical package of changes and Mr Pennycook has now accepted the chief executive role on a permanent basis.

The food-to-funerals group reported a record £2.5billion loss for 2013 as it was dragged down by the near-collapse of its banking arm but said yesterday it had seen an overall return to profit.

The group reported income of £116million for the six months to July 5, compared with a £1billion loss for the same period last year, despite revenues falling from £5.3bn to £5.1bn.

However, these figures include profits from the group’s farms and pharmacy operations, which have now been sold to ease its debt burden, plus last year’s major losses from the bank and one-off gains from pensions reclassifications.

Stripping out all of these factors, the group saw a £9m pre-tax loss for the first half this year.

Mr Pennycook said yesterday: “I am delighted to have the chance to lead the Co-operative Group through the crucial job of rebuilding the business.

“We have taken major steps forward over the last six months, securing governance reform and repairing our balance sheet, but we have much to do to return the group to full financial health and improve the performance of our businesses.”

: : The East of England Co-operative Society, which is based at Wherstead, near Ipswich, and operates across north Essex, Suffolk and Norfolk, is a separate organisation and not part of the Co-op Group.

shares

0 comments

Welcome , please leave your message below.

Optional - JPG files only
Optional - MP3 files only
Optional - 3GP, AVI, MOV, MPG or WMV files
Comments

Please log in to leave a comment and share your views with other East Anglian Daily Times visitors.

We enable people to post comments with the aim of encouraging open debate.

Only people who register and sign up to our terms and conditions can post comments. These terms and conditions explain our house rules and legal guidelines.

Comments are not edited by East Anglian Daily Times staff prior to publication but may be automatically filtered.

If you have a complaint about a comment please contact us by clicking on the Report This Comment button next to the comment.

Not a member yet?

Register to create your own unique East Anglian Daily Times account for free.

Signing up is free, quick and easy and offers you the chance to add comments, personalise the site with local information picked just for you, and more.

Sign up now

Rain Newton-Smith, CBI Director of Economics

Trading conditions for the UK’s small and medium-sized enterprises have stabilised over the past quarter, according to the CBI’s new Quarterly SME Trends survey.

Brad McLean, the new general manager of Thorpeness Golf Club and Hotel.

Suffolk-based hotel group TA Hotel Collection has appointed Brad McLean as general manager overseeing its golf, hotel and private members club at Thorpeness.

The Sembmarine SLP jacket for the offshore wind turbine substation is moved onto a barge. Picture by Alan O'Neill.

The fabrication yard behind a multi-million pound project which has dominated the Lowestoft skyline for months has called on business leaders to work together to bring more work to the coast.

The Wick & Wax Company team from Woodbridge School at the final of the 2016 Suffolk Young Enterprise competition.

Twelve teams of budding entrepreneurs from across the county took part in the final of the 2016 Suffolk Young Enterprise competition.

Sainsbury's chief executive Mike Coupe.
Photo: Sainsbury's/PA Wire

The City will this week look for details of how Sainsbury’s plans to overhaul Argos when the supermarket posts its annual results next week, while trading at rival Morrisons and banking giant HSBC will also be in the spotlight.

Most read

Great Days Out

cover

Click here to view
the Great Days Out
supplement

View

Most commented

HOT JOBS

Show Job Lists

Streetlife

Newsletter Sign Up

Great British Life

Great British Life
MyDate24 MyPhotos24