Today the Board of TESCO PLC announced their decision to appoint Dave Lewis as chief executive had been, in their judgement, a resounding success and Mr Lewis has been suitably rewarded. Base salary rises from £570,000 to £1,250,000, pension contribution up from £130,000 to £313,000, and a £3,000,000 bonus for being Dave, not Phil. Independent
Meanwhile, back on planet Earth:
x
The share price closed at 225p on the day Mr Lewis started; today it trades for 158p.
Despite Dave Lewis "kitchen sinking" the 2015 accounts to an overall £6.4 billion loss, "Operating Profit", a fairer measure of trading performance in the circumstances, actually fell 32% between 2015 and 2016, from £1,390M to £944M.
Share price crushed, dividend cancelled; if this is success what constitutes mediocrity?
No position.
Bonitabeach
Unlock the rest of this article with a 14 day trial
Already have an account?
Login here