Sir Terry Leahy, CEO of Tesco, has handed in his resignation. Sir Terry has lead Tesco for the past 14 years and seen it rise from a standard supermarket chain into a multinational supermarket, and overseen its diversification into fuel, banking, mortgages, Internet, credit cards, mobile phones, International money transfer and even flower deliveries and diet plans. Tesco also led the Internet supermarket shopping boom.
What does this mean for Tesco shareholders? Well, Philip Clarke who is the international and IT director of Tesco is replacing him. Tesco’s growth has certainly been driven by its innovative approach to using new technology, so it looks like it is certainly in safe and experienced hands to see it continue to grow and develop further internationally and technologically.
As expected Tesco shares still slipped a little when he announced he was retiring as the traders panic sold before realising that he was not going to steal all the Tesco wine on the way out (OK. not really sure why people panic sell when a director quits, just hedging their bets I guess).
Sir Terry Resignation Statement
“When I became chief executive I had a plan to build Tesco around its customers, to make it number one in the UK and to find new long-term growth in non-food, in services and in international expansion. It has taken 14 years but that strategy has become a firm reality now and so I feel my work is almost complete.”
A great job well done Sir Terry. Enjoy your retirement!