This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.guardian.co.uk/business/2013/jan/28/premier-foods-new-chief-executive
The article has changed 5 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Hovis owner Premier Foods to get new chief executive | Hovis owner Premier Foods to get new chief executive |
| (35 minutes later) | |
| Premier Foods, the maker of Hovis bread and Mr Kipling cakes, is to get its second chief executive in 18 months after the sudden resignation of Michael Clarke. | Premier Foods, the maker of Hovis bread and Mr Kipling cakes, is to get its second chief executive in 18 months after the sudden resignation of Michael Clarke. |
| Clarke is to be replaced by Gavin Darby, until recently the boss of Cable & Wireless Worldwide, from February. | Clarke is to be replaced by Gavin Darby, until recently the boss of Cable & Wireless Worldwide, from February. |
| Darby promised to "invest a significant personal sum" in Premier's shares – which fell nearly 10% to 105p on Monday morning – with the company matching the size of his investment. | Darby promised to "invest a significant personal sum" in Premier's shares – which fell nearly 10% to 105p on Monday morning – with the company matching the size of his investment. |
| His new pay packet is yet to be disclosed. His predecessor, who was only appointed in August 2011, was on an annual salary of £750,000 plus bonuses, including a £1.5m cash bonus he was handed on joining and which he used to buy shares in the company. Clarke, who joined from Kraft, had also been promised two batches of a maximum of 5m shares in 2013 and 3.75m shares in 2014 because of share awards he had left at his previous employer. Since a share consolidation, he will now get 500,000 shares – currently worth around £500,000 in the first award – although he will also receive a cash payment on top of that, thought to be less than £500,000. He will not receive the second award of shares. | |
| Since his arrival, Clarke had been focusing the group on eight "power brands" including Hovis, Oxo, Batchelors, Bisto, Ambrosia and Mr Kipling. Darby appeared to indicate that this would remain the case. | Since his arrival, Clarke had been focusing the group on eight "power brands" including Hovis, Oxo, Batchelors, Bisto, Ambrosia and Mr Kipling. Darby appeared to indicate that this would remain the case. |
| "Although markets remain difficult, I look forward to working with the team to develop and grow the company's power brands in the coming years. Premier Foods has great potential and I fully intend to invest a significant personal sum in the shares of the company after the full year results are published in February which the company will match," Darby said. | "Although markets remain difficult, I look forward to working with the team to develop and grow the company's power brands in the coming years. Premier Foods has great potential and I fully intend to invest a significant personal sum in the shares of the company after the full year results are published in February which the company will match," Darby said. |
| In November Premier cut 900 jobs as it continued to pay down its debt after a decade-long period of acquisitions, notably the £1.2bn purchase of RHM, formerly Rank Hovis McDougall in 2007, left it saddled with debts. | In November Premier cut 900 jobs as it continued to pay down its debt after a decade-long period of acquisitions, notably the £1.2bn purchase of RHM, formerly Rank Hovis McDougall in 2007, left it saddled with debts. |
| That debt has now reached than £1bn after the sales of Branston Pickle to Japanese Mizkan Group and Hartley's jams and Sun-Pat peanut butter to US company Hain Celestial. | That debt has now reached than £1bn after the sales of Branston Pickle to Japanese Mizkan Group and Hartley's jams and Sun-Pat peanut butter to US company Hain Celestial. |
| David Beever, Premier Foods chairman said: "Michael Clarke and the team have done a first class job in stabilising the business, strengthening its balance sheet, divesting non-core businesses and generating momentum. This is a significant achievement in a challenging market and I would like to thank Mike on behalf of the Board for his contribution." | David Beever, Premier Foods chairman said: "Michael Clarke and the team have done a first class job in stabilising the business, strengthening its balance sheet, divesting non-core businesses and generating momentum. This is a significant achievement in a challenging market and I would like to thank Mike on behalf of the Board for his contribution." |
| Clarke has stepped down from the board with "immediate effect" but will "remain available" to the company until the middle of 2013. The company said the appointment of Darby after was made after Clarke's "indication to the board that, having delivered the initial turnaround of the company and set a course for future sustainable profitable growth, he was potentially considering moving on to pursue other business opportunities". | Clarke has stepped down from the board with "immediate effect" but will "remain available" to the company until the middle of 2013. The company said the appointment of Darby after was made after Clarke's "indication to the board that, having delivered the initial turnaround of the company and set a course for future sustainable profitable growth, he was potentially considering moving on to pursue other business opportunities". |
| Darby left Cable & Wireless Worldwide after it was sold to Vodafone last year when he had been at the helm for less than 12 months. He had spent 15 year at Coca-Cola in a earlier point in his career and then went to Vodafone for seven years before joining Cable & Wireless Worldwide. | Darby left Cable & Wireless Worldwide after it was sold to Vodafone last year when he had been at the helm for less than 12 months. He had spent 15 year at Coca-Cola in a earlier point in his career and then went to Vodafone for seven years before joining Cable & Wireless Worldwide. |