The Chairman of Wesfarmers, Trevor Eastwood, has told shareholders that he is excited about the platform for growth of Coles, now that the senior management team is in place. Mr Eastwood was looking to appease shareholders who have watched Wesfarmers’ share price drop to less than half of what it was a year ago and rejected proposed pay rises for the company’s directors. The proposed bonus scheme could see the salary of the company’s Managing Director, Richard Goyder, increase... ...Read more »

Liquorland, Wesfarmers’ largest alcohol chain, has permanently cut their prices in an endeavour to reposition the brand. A Liquorland spokesman told the Australian Financial Review that the price cut represented “an integral part of our strategy to deliver better value to our customers.” The move has been made following a review of liquor operations since the purchase of Coles Group by Wesfarmers last year. Since the review they have also managed to lure former Dan Murphy’s... ...Read more »

Any hopes of the Coles transformation being complete earlier than the five year estimate appear forlorn given the frank assessment of current Chief Executive Ian McLeod at an investor briefing held by Wesfarmers yesterday. Mr McLeod suggested the supermarket chain had suffered from “chronic underinvestment”, a “lack of cohesive strategy”, and was “fundamentally broken” when Wesfarmers took over Coles in November last year. A basic “spring clean”... ...Read more »

Coles, in the early stages of a five year turnaround being orchestrated by a management team full of new blood, is set to lose one of their stalwarts at the end of the year. Mick McMahon, the man who led Coles through its acquisition by Wesfarmers last year and represented the company during ACCC questioning as part of the Grocery Price Inquiry, is to step down at the end of the year, according to reports from Fairfax Media. Currently in the position of Chief Operating Officer of Food, Liquor and... ...Read more »

Tony Leon, an instrumental figure in building the Dan Murphy’s chain, has been recruited by Wesfarmers to become the head of their liquor division. Mr Leon announced he would step down from the post of General Manager in June, with the owner of the Dan Murphy’s chain, Woolworths, reporting that the split was “amicable”. The move to work for the key rival is reportedly due to his desire for a new challenge and, at Coles - where a five year turnaround has begun under... ...Read more »

Wesfarmers, Australia’s largest employer and owner of Coles supermarkets, has announced that the market share of Coles has begun to stabilise as initiatives to transform the business continue in earnest. The company reported a net profit of $1,050 million for the 2007/08 financial year, an increase of 33.6% on last year due, in part, to the integration of Coles Group. “The acquisition of the major businesses of Coles, Target, Kmart and Officeworks has materially expanded Wesfarmers’... ...Read more »

Wesfarmers, the owner of Coles supermarkets since the $20b purchase of Coles Group last year, has disputed claims that the turnaround of the supermarket giant is taking too long. Wesfarmers CEO, Richard Goyder, suggested that the turnaround will take about five years due to the extent of change required, and insisted they remained well on the way to achieving their goals. “In June 30 this year, we wound up our Coles integration team, which in just over seven months has completed a task, which... ...Read more »

Trevor Eastwood AM today announced he would be stepping down as Chairman of Wesfarmers Limited at the company’s Annual General Meeting in November 2008. Mr Eastwood took up the role as Chairman of Wesfarmers, one of Australia’s largest companies and owners of Coles Group, in 2002 after joining the Board back in 1994. The company advised that Dr Bob Every, a current Non-Executive Director, will succeed Mr Eastwood on November 13, with Dr Every to take on the position of Deputy Chairman... ...Read more »