Tesco boss surveys a world of trouble from Dublin to Bangkok
Zoe Wood Sunday 26 October 2014
Dave Lewis has launched an accounting probe in the UK. Now he will tour his global empire, where the news is little better
The Tesco Extra store at the Clearwater Centre in Dublin.
Photograph: Sam Boal/Photocall Ireland
Sir Terry Leahy used to talk about building a retail empire on which the sun never set: a chain of Tesco stores stretching around the world from San Francisco to Tokyo.
Its successful UK business was the cash machine that reliably paid out profits measured in the billions to bankroll expansion around the world. But that old model is irreparably broken: the supermarket giant revealed last week that group pre-tax profits for the first six months of this year were almost completely wiped out by penance for past accounting sins and the collapsing profitability of the ailing UK chain.
But with the results out of the way, and the first chapter of what promises to be a long-running accounting inquiry complete, new boss Dave Lewis feels it is now safe to leave the country, at least for a couple of days, to inspect his dominion.
Having grounded the company fleet of corporate jets permanently, he will join hoi polloi A Tesco Lotus store in Bangkok.
Photograph: Pornchai Kittiwongsakul/EPA A branch of Irish supermarket chain SuperValu in Dublin.
Photograph: Sam Boal/Photocall Ireland/The Observer
CHAIRMAN WANTED: MUST ENJOY A CHALLENGEArchie NormanSir Ian CheshireJohn GildersleeveRichard CousinsJohn Allan, chairman of Dixons Retail at the time of its merger with Carphone Warehouse, may also get a mention. Now deputy chairman of the enlarged retailer, he is highly rated and has sat on boards including Deutsche Post and Samsonite.
Former banker and trade minister Lord (Mervyn) Davies is not a retailer, but one of the great and good who has served on the Tesco board. He wrote a government report on getting more women into the boardroom and likes big challenges.
Jill Treanor and Sarah Butler
theguardian.com
Zoe Wood Sunday 26 October 2014
Dave Lewis has launched an accounting probe in the UK. Now he will tour his global empire, where the news is little better
The Tesco Extra store at the Clearwater Centre in Dublin.
Photograph: Sam Boal/Photocall Ireland
Sir Terry Leahy used to talk about building a retail empire on which the sun never set: a chain of Tesco stores stretching around the world from San Francisco to Tokyo.
Its successful UK business was the cash machine that reliably paid out profits measured in the billions to bankroll expansion around the world. But that old model is irreparably broken: the supermarket giant revealed last week that group pre-tax profits for the first six months of this year were almost completely wiped out by penance for past accounting sins and the collapsing profitability of the ailing UK chain.
But with the results out of the way, and the first chapter of what promises to be a long-running accounting inquiry complete, new boss Dave Lewis feels it is now safe to leave the country, at least for a couple of days, to inspect his dominion.
Having grounded the company fleet of corporate jets permanently, he will join hoi polloi A Tesco Lotus store in Bangkok.
Photograph: Pornchai Kittiwongsakul/EPA A branch of Irish supermarket chain SuperValu in Dublin.
Photograph: Sam Boal/Photocall Ireland/The Observer
CHAIRMAN WANTED: MUST ENJOY A CHALLENGEArchie NormanSir Ian CheshireJohn GildersleeveRichard CousinsJohn Allan, chairman of Dixons Retail at the time of its merger with Carphone Warehouse, may also get a mention. Now deputy chairman of the enlarged retailer, he is highly rated and has sat on boards including Deutsche Post and Samsonite.
Former banker and trade minister Lord (Mervyn) Davies is not a retailer, but one of the great and good who has served on the Tesco board. He wrote a government report on getting more women into the boardroom and likes big challenges.
Jill Treanor and Sarah Butler
theguardian.com