Hoerner tipped to quit Burton
Friday 13 June 1997
Dealers said sales at Burton were difficult. Burton shares closed 2p down at 124.5p in heavy late volume. A large amount of stock went through at below the market price in a late trade. Burton was not available to comment on the possible management change.
Many would see any decision by Mr Hoerner to step down as a surprise move as Burton has been viewed as an impressive recovery story. Much of the credit has been given to Mr Hoerner, who took over as chief executive in 1992 when the shares were bumping along at 30-40p.
However, there have been concerns about Burton's current trading and the group's share price has fallen sharply in the past month. The decline was triggered by the company's half- year results statement in mid-May.
Though pre-tax profits in the first half were 23 per cent ahead at pounds 108m, some analysts were worried about a slowdown in like-for-like sales growth. Same store sales in the first 10 weeks of the second half were 6.8 per cent ahead of the same period last year.
Analysts expressed particular concern about a slowdown in sales at Dorothy Perkins where like-for-like sales were just 1.7 per cent ahead compared with a 10.7 per cent increase in the first half. Principles suffered a 9.8 per cent fall in current like-for-like sales against the first half's 6.6 per cent rise.
It has been an on-going problem at Burton that while the Debenhams department stores have delivered consistent increases in sales and profits, the multiples such as Burton Menswear, Top Shop and Top Man have proved harder to stimulate.
Mr Hoerner has proved a popular figure in the City, which has been impressed by his straightforward approach. An amiable Nebraskan with a Midwestern drawl, he is more willing than most chief executives to admit to his mistakes. His record at Burton has been impressive. After joining the company in 1987 he moved up to the board in 1991 and was appointed chief executive a year later.
From a loss of pounds 4.2m in 1992 he has taken the group to profits of pounds 150m last year.
- 1 Avengers: Age of Ultron: Nearly 700 German cinemas refuse to show movie
- 2 Man cooked alive with 12,000 pounds of tuna
- 3 X Factor in crisis as numbers of people auditioning plummets
- 4 General Election 2015: Stephen Hawking says he will vote Labour
- 5 Baltimore riots: Furious mother marches her son home live on TV
Bali Nine executions live: Indonesian firing squad shoots dead eight drug offenders despite outcry around world, but a ninth is spared
Keith Harris dead: Orville the Duck ventriloquist dies aged 67 following battle with cancer
Man cooked alive with 12,000 pounds of tuna
General Election 2015: Stephen Hawking says he will vote Labour
Baltimore riots: Furious mother marches her son home live on TV
General Election 2015: Chuka Umunna on the benefits of immigration, humility – and his leader Ed Miliband
The sickening truth about food banks that the Tories don't want you to know
Aaron and Melissa Klein: Oregon anti-gay bakers ordered to pay $135,000 after refusing to make cake for same-sex wedding
EU exit would hit UK economy much harder than neighbouring countries, study finds
Andrew Lloyd Webber: Phantom of the Opera writer mocked after issuing a warning about Ed Miliband and Nicola Sturgeon
General election 2015: Labour will toughen hate crimes legislation surrounding Islamophobia
iJobs Money & Business
£30000 - £38000 per annum: Recruitment Genius: They are a financial services c...
£Basic (OTE) + Uncapped Commission: Guru Careers: A Stockbroker (qualified / p...
£20000 - £60000 per annum: Recruitment Genius: Are you recently QCA Level 4 qu...
£20000 - £22500 per annum + OTE £30K: SThree: SThree Group have been well esta...