Lord Harris back into Carpetright after chief quits
Friday 04 October 2013
Lord Harris of Peckham has been forced to come out of retirement to take over the helm of Carpetright after a shock profit warning and the unexpected resignation of chief executive Darren Shapland.
The company that Harris, 70, founded 25 years ago admitted profits would fail to meet expectations because of slowing sales across the business, especially at UK stores outside London and the South-East as well as in its European division. In response, shares fell more than 10% to 605p
Harris, who retired as chief executive 17 months ago, said: “I had been enjoying retirement, so it’s a surprise to be back, but I’ve still got the enthusiasm to do the job.”
Ending a holiday early to return to the UK, he said he would run the company for about 18 months while looking for a permanent successor.
Shapland is thought to be receiving a pay-off of £450,000 — a year’s salary — and to have parted on good terms.
Harris said: “I was on holiday and received a call from our non-executive directors who said Darren was no longer committed to the company for the five years he had previously said, and asked me if I would take over.”
He added that there was no falling-out between the two sides, and the resignation and profit warning were unrelated. Shapland joined from Sainsbury’s, where he had been group development director, and previously chief financial officer. He had already worked for Carpetright as finance director for three years. In the hope of turning around the company’s fortunes after the financial crisis, its stores were revamped, started selling beds and launched an improved online presence.
However, it appears that the turnaround would take too long for Shapland to see it through.
Retail analyst Nick Bubb said: “I guess Darren thought he would be able to preside over a great profit recovery before going off to do something else and it dawned on him that it would be a long haul. I suspect the greater mystery is in why he went back to Carpetright in the first place.”
Shapland could not be reached for comment.
Exclusive: World’s most pristine waters are polluted by US Navy human waste
Chicago river turns green to mark Saint Patrick's Day
Saint Patrick's Day: As Google Doodle celebrates the patron saint of Ireland, here are 10 things you didn't know about the man himself
Missing Malaysia Airlines Flight MH370: Did jetliner fly into area controlled by Taliban? Net widens after claims final satellite signal could have been sent from the ground
Nasa-funded study warns of ‘collapse of civilisation’ in coming decades
Katie Hopkins continues campaign to become Britain's most hated talking head with poorly timed Bob Crow tweet
Ukip and Nigel Farage on course for remarkable victory in European elections
No EU referendum under Labour: Ed Miliband to reveal that vote on membership is ‘unlikely’ in next Parliament if party wins power
Tony Benn was entirely ineffectual - and usually wrong
The rise of Ukip: Study warns Labour that Eurosceptic party's electoral base now 'more working class than any of the main parties'
Europeans have ‘got whiter’ due to natural selection in past 5,000 years, scientists say
- 1 Is your name now 'banned' in Saudi Arabia?
- 4 Nasa-funded study warns of ‘collapse of civilisation’ in coming decades
iJobs Money & Business
£35000 - £43000 per annum + Bonus and Benefits: Harrington Starr: A global lea...
£50000 - £60000 per annum: Harrington Starr: Linux Systems Administrator - UNI...
£32000 - £36000 per annum + generous benefits: Pro-Recruitment Group: * TAX * ...
£37000 - £40000 per annum + £20000 benefits package: Pro-Recruitment Group: **...