Governance groups rap Stobart over new chairman

Lucy Tobin
Tuesday 22 January 2013 01:00
Comments

Logistics giant Stobart Group was yesterday cautioned by corporate governance groups after appointing a new executive chairman.

Stobart said Rodney Baker-Bates, its non-executive chairman, was retiring and in his stead the firm's deputy chief executive, Avril Palmer-Baunack, would become executive chairman.

The corporate governance code reads: "There should be a clear division of responsibilities at the head of the company between the running of the board and the executive responsibility for the running of the company's business. No one individual should have unfettered powers of decision."

"The code is clear," said Paul Hewitt of shareholder advisory agency Manifest.

"The chair shouldn't have executive responsibility."

But Stobart's chief executive, Andrew Tinkler, said: "To meet the challenges and opportunities within our strategy... it is appropriate that Stobart is headed by an executive chairman."

Register for free to continue reading

Registration is a free and easy way to support our truly independent journalism

By registering, you will also enjoy limited access to Premium articles, exclusive newsletters, commenting, and virtual events with our leading journalists

Already have an account? sign in

By clicking ‘Register’ you confirm that your data has been entered correctly and you have read and agree to our Terms of use, Cookie policy and Privacy notice.

This site is protected by reCAPTCHA and the Google Privacy policy and Terms of service apply.

Join our new commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in