Sainsbury's Chairman Departs Over Bonus Flap
LONDON - Sir Peter Davis, chairman of U.K. supermarket chain Sainsbury's, has departed after just three months in the position, the company said yesterday.
His successor will be Philip Hampton, a nonexecutive director of the Belgian telecommunications group Belgacom and the cement company RMC. Hampton will begin work July 19.
According to published reports, Sainsbury's shareholders were outraged that Davis got an alleged 2.4 million pound (U.S. $4.3 million) share bonus for the 2003-04 financial year, in spite of the company's plummeting profits.
Sainsbury's said it had not been able agree with Davis about possible changes to his bonus and that lawyers for the two parties would discuss the matter. Davis served as the company's group chief executive for four years before becoming chairman.
His successor will be Philip Hampton, a nonexecutive director of the Belgian telecommunications group Belgacom and the cement company RMC. Hampton will begin work July 19.
According to published reports, Sainsbury's shareholders were outraged that Davis got an alleged 2.4 million pound (U.S. $4.3 million) share bonus for the 2003-04 financial year, in spite of the company's plummeting profits.
Sainsbury's said it had not been able agree with Davis about possible changes to his bonus and that lawyers for the two parties would discuss the matter. Davis served as the company's group chief executive for four years before becoming chairman.