Ahrendts finally collects her coat from Burberry

Christopher Bailey will fill the joint role of chief creative and chief executive officer

Burberry’s star designer Christopher Bailey took the reins of the £6.5bn designer yesterday as the group finally confirmed that its chief executive, Angela Ahrendts, had left for the US computer giant Apple.

Burberry had kept investors and analysts guessing about the exact departure date of Ms Ahrendts, fuelling speculation that there was an issue with her severance package. In particular, there were recent suggestions that she could miss out by just a few weeks on long-term share awards worth about £7.8m if she left before June.

The company had previously said only that Ms Ahrendts would leave in “mid-2014”. Yesterday, however, it confirmed that the 53-year-old American, who took over in 2006, had resigned her directorship on 30 April.

It means that Mr Bailey, who will fill the joint role of chief creative and chief executive officer, and has been with the business since 2001, will now oversee Burberry’s full-year results update on 21 May.

It is thought that an arrangement was made where Ms Ahrendts did not have to stay until June to qualify for the shares awarded under a three-year plan which was stipulated in previous annual report.

In a statement, Burberry said its remuneration committee has “determined that Angela Ahrendts’s outstanding 2011 Co-Investment Plan … will vest, to the extent that the performance condition is satisfied.”

The value of these payments is about £5m. But options due to have vested up to 2016 – of 1.15 million shares worth about £16m at current prices – will not be given.

The confusion surrounding Ms Ahrendts departure increased last month as she completed her six-month notice.

The woman who helped to turn Burberry into a global luxury brand during her time at the helm is joining Apple to run its retail business. Last week, Apple also added to the confusion when its chief executive, Tim Cook, announced that he was looking forward to Ms Ahrendts “joining Apple’s executive team next week”.

Mr Bailey became chief creative officer in 2009 and his appointment to the top job worried analysts about how he will manage the dual role. He appeased some concerns in November by promoting Luc Goidadin to chief design officer.

Start your day with The Independent, sign up for daily news emails
ebooks
ebooksA special investigation by Andy McSmith
  • Get to the point
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

SThree: Graduate Recruitment Resourcer

£20000 per annum + commission: SThree: Sthree have an exciting opportunity for...

Recruitment Genius: Telesales Executive - OTE £32,000+

£18000 - £32000 per annum: Recruitment Genius: A Telesales Executive is requir...

Ashdown Group: Marketing Manager - B2B, Corporate - City, London

£45000 - £50000 per annum + benefits : Ashdown Group: A highly successful, glo...

Neil Pavier: Commercial Analyst

£50,000 - £55,000: Neil Pavier: Are you a professionally qualified commercial ...

Day In a Page

General Election 2015: The masterminds behind the scenes

The masterminds behind the election

How do you get your party leader to embrace a message and then stick to it? By employing these people
Machine Gun America: The amusement park where teenagers go to shoot a huge range of automatic weapons

Machine Gun America

The amusement park where teenagers go to shoot a huge range of automatic weapons
The ethics of pet food: Why are we are so selective in how we show animals our love?

The ethics of pet food

Why are we are so selective in how we show animals our love?
How Tansy Davies turned 9/11 into her opera 'Between Worlds'

How a composer turned 9/11 into her opera 'Between Worlds'

Tansy Davies makes her operatic debut with a work about the attack on the Twin Towers. Despite the topic, she says it is a life-affirming piece
11 best bedside tables

11 best bedside tables

It could be the first thing you see in the morning, so make it work for you. We find night stands, tables and cabinets to wake up to
Italy vs England player ratings: Did Andros Townsend's goal see him beat Harry Kane and Wayne Rooney to top marks?

Italy vs England player ratings

Did Townsend's goal see him beat Kane and Rooney to top marks?
Danny Higginbotham: An underdog's tale of making the most of it

An underdog's tale of making the most of it

Danny Higginbotham on being let go by Manchester United, annoying Gordon Strachan, utilising his talents to the full at Stoke and plunging into the world of analysis
Audley Harrison's abusers forget the debt he's due, but Errol Christie will always remember what he owes the police

Steve Bunce: Inside Boxing

Audley Harrison's abusers forget the debt he's due, but Errol Christie will always remember what he owes the police
No postcode? No vote

Floating voters

How living on a houseboat meant I didn't officially 'exist'
Louis Theroux's affable Englishman routine begins to wear thin

By Reason of Insanity

Louis Theroux's affable Englishman routine begins to wear thin
Power dressing is back – but no shoulderpads!

Power dressing is back

But banish all thoughts of Eighties shoulderpads
Spanish stone-age cave paintings 'under threat' after being re-opened to the public

Spanish stone-age cave paintings in Altamira 'under threat'

Caves were re-opened to the public
'I was the bookies’ favourite to be first to leave the Cabinet'

Vince Cable interview

'I was the bookies’ favourite to be first to leave the Cabinet'
Election 2015: How many of the Government's coalition agreement promises have been kept?

Promises, promises

But how many coalition agreement pledges have been kept?
The Gaza fisherman who built his own reef - and was shot dead there by an Israeli gunboat

The death of a Gaza fisherman

He built his own reef, and was fatally shot there by an Israeli gunboat