Reuters
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The head of the fast fashion chain Primark, Paul Marchant, resigned with immediate effect after admitting a “error of judgment” to a woman in a social environment.
Parents associated with British foods said in a statement on Monday that walking accepted that its actions fell below expected standards, and the Conglomerate Director of 14 billion pounds ($ 18 billion) said that he was “extremely disappointed”.
Primark has more than 450 stores in 17 countries across Europe and the United States, with an operating profit from Marchant, from approximately 250 million pounds to more than a billion pounds and more than double its store footprint during its over 15 years of age.
Primark, founded in Ireland and with a huge presence in the High British streets, contributes to about half of the group profit to AB food, which also has major spicering, sugar, agriculture and ingredient companies.
The shares of the parent company was negotiated 4% on Monday morning.
“I am extremely disappointed. In ABF, we believe that high integrity standards are essential, “said CEO George Weston.
“Acting responsible is the only way to build and manage a long -term business. Colleagues and others must be treated with respect and dignity. Our culture must be, and is, greater than any individual. ”
The group declared that the exit from Marchant followed an investigation which she initiated which had been carried out by lawyers external to an allegation made by an individual on his behavior towards her in a social environment.
Ab Foods said that walking “cooperated with the investigation, recognized his error of judgment and accepts that his actions fell below the standards expected by ABF”.
He said he apologized to the individual concerned, the group’s advice as well as his Primark colleagues and others related to the company.
Ab Foods said the group would continue to provide support to the individual who has brought this behavior to his attention.
Eoin Tonge, financial director of AB Foods, will act as Primark CEO on an interim basis by working with the Primark Senior management team and the Primark Strategic Consulting Council, while Joana Edwards, AB Foods financial controller, will act as an interim finance director.
“It is, in fact, very disappointing, to say the least, for Mr. Marchant and all at Primark and Abf, where he supervised the development of a retailer based on a fine value with strong growth prospects,” said Clive Black, analyst of Shore Capital.
Barclays analysts said the first Primark was one of the best roles in the British retail and will probably receive a lot of interest from potential candidates.
“But we do not think that Primark is in a hurry to fill the void until they find the right person to take care of,” they said.
AB Foods, which reduced its annual commercial advice for Primark in January, should publish the results of the first half on April 29.
