Thursday, 19 July 2012

Halfords CEO steps down

Rob Halford, lead singer of Judas Priest, has nothing
to do with Halfords whatsover, although he might
have bought a bike from the store, who knows?
There's a report in today's Evening Standard about Halfords chief David Wild stepping down as CEO 'with immediate effect'. This follows what the paper calls 'a sustained period of underperformance, including a hit to sales of camping equipment and bicycles after the wet weather experienced in the last quarter.

Wild's job has gone to Dennis Millard, who will act as CEO until a new one is found. It's odd when you consider that Wild is described as an experienced retailer with spells at Tesco and Walmart. Whether he fell or was pushed, we'll probably never know. Millard's keep quiet, merely saying that the company always takes the temperature where shareholders are concerned, and Wild himself is saying it's about time he moved on, having set up the strategy that (ahem) has seen a period of sustained underperformance.

According to the Evening Standard, 'Wild will receive his total pay of £645,399, including his salary of £517,650 and pension contributions, in 12 monthly instalments.' Clearly a nice little earner.

For Q2, Halfords posted a 5.6% slump in group underlying sales, with retail sales falling 7.5%.

Millard described the trading conditions as the most uncertain he'd ever experienced.

In the year 2011-12 the company made pre-tax profits of £92.2 million, but for 2012-13 it's likely to be between £62 million and £70 million.

Source: Evening Standard Thursday July 19th.

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